Michael Bloomberg

Wolves Notes: Ownership Battle, Gobert, Alexander-Walker, DiVincenzo

April 4th, 2025 at 12:07pm CST by Arthur Hill

The nearly year-long battle that Glen Taylor waged to keep control of the Timberwolves gave Marc Lore and Alex Rodriguez more time to improve their financial position, writes Jon Krawczynski of The Athletic. Taylor gave up that fight this week and reportedly won’t appeal an arbitration case that was decided in favor of the new owners.

As Krawczynski writes, Lore and Rodriguez were able to secure former New York City mayor Michael Bloomberg as a minority investor and set aside $950MM in an escrow account. Although they still need formal approval from the NBA’s Board of Governors, having that much cash on hand takes away any financial concerns about their ability to operate the team.

Sources tell Krawczynski that the long-running dispute has ended any plans of having Taylor remain as a limited partner after the sale is finalized. Taylor will be fully bought out, and complete control will be transferred to the Lore-Rodriguez group, which also includes former Google CEO Eric Schmidt and several other high-profile investors.

Krawczynski speculates that Taylor, who underwent hip surgery in December, wanted to put the issue behind him now that he’s feeling better physically. He also recognized that it’s difficult to get an arbitrator’s decision reversed, and he doesn’t want to be responsible for the team’s tax bill of nearly $90MM when the league’s fiscal year ends this summer.

There’s more from Minnesota:

Rudy Gobert‘s presence in the middle gives the Wolves hope of recapturing the dominant defense that led the NBA last season, Krawczynski adds in a separate story. The team has been more sporadic this year, Krawczynski observes, ranking sixth in defensive efficiency, but Gobert is asserting himself more as the playoffs approach. “I just try to set the tone,” he said. “I know that when I do that, it’s contagious for the team. For me, it’s really important to do it for the first minute of the game to the last and in practice every day and in the weight room. Wherever I’m at, I try to lead by example.”
Nickeil Alexander-Walker described himself as “lost” when he was sent to Minnesota along with Mike Conley at the 2023 trade deadline, per Chris Hine of The Star Tribune. Alexander-Walker has developed into a valuable rotation player, but he feared at the time that his NBA career might be close to an end. “Traded twice in 18 hours, not knowing what my reality of my career was gonna be,” he recalled. “Especially going into year four, I truly believed this could be my last year, going into my contract year, haven’t really had the opportunity to show what I could do.”
In an interview with Simone Sandri of La Gazzetta dello Sport, Donte DiVincenzo said he hopes to play for Italy at EuroBasket this summer. DiVincenzo recently talked to officials from the Italian national team and just has to finalize his passport. “I would say yes, we are all on the same wavelength,” he said. “For me it would be great to represent Italy, now we just have to wait for the documents to arrive.”

Arbitration Hearing To Decide Timberwolves’ Ownership Dispute Begins

November 4th, 2024 at 6:38pm CST by Dana Gauruder

The arbitration hearing to decide the Timberwolves’ ownership dispute began on Monday and is expected to last most of the week. The decision by the three-person arbitration panel is expected to be announced next month, according to ESPN’s Brian Windhorst.

The dispute between minority owners Marc Lore and Alex Rodriguez and principal owner Glen Taylor moved to arbitration in July. A one-day mediation in the spring failed to make any progress, Windhorst writes.

The dispute has been ongoing since the tail end of last season. Taylor nixed the previous tiered payment agreement with Lore and Rodriguez, citing a breach of contract and a failure to meet a payment deadline. Lore and Rodriguez disputed that characterization, stating that they had the funds necessary to become majority owners but were awaiting NBA approval and should have been entitled to an extension.

The third payment in dispute would increase Lore and Rodriguez’ share from 36% to about 80% and the purchase agreement stipulates that they could buy out Taylor’s remaining 20% stake anytime before March 2025.

Windhorst and The Athletic’s Jon Krawczynski provided more details of the process:

If the arbitration panel rules in Taylor’s favor, the process essentially ends. Lore and Rodriguez could remain as limited partners or try to sell their shares. Taylor would have to approve the sale of their shares, according to Krawczynski. However, if Lore and Rodriguez get a favorable ruling. Taylor would be contractually compelled to sell them the controlling share for the previously agreed upon $1.5 billion valuation. The franchise’s value is substantially higher now, which is a major factor in Taylor’s decision to try to halt the sale. Lore and Rodriguez would still need 23 of 30 votes from the league’s owners to finalize the acquisition, since all team percentage transfers are subject to a vote, Windhorst notes.
Those transfer rules could present a sticky situation, due to Taylor’s long-standing relationships with the other owners and commissioner Adam Silver. There have been plenty of back-scene developments due to that possibility, according to Windhorst. Lore and Rodriguez have worked to meet with owners and the league office in recent months to demonstrate their position and attempt to shore up support in the event of a vote. It’s likely that Silver and BOG chairman Larry Tanenbaum will try to build a consensus in lieu of an owners’ vote.
Lore and Rodriguez have been firming up their finances by recruiting billionaires Michael Bloomberg, the former mayor of New York, and Eric Schmidt, the former CEO of Google, as well as private equity firm Dyal Homecourt Partners. They have amassed $950MM in an escrow account for not just the 40% needed to take majority control, but enough to give them 100% ownership of the team.
The team is facing a luxury tax bill of $100MM and total operating losses of more than $150MM this season, according to Krawczynski. That’s one reason why the Timberwolves moved Karl-Anthony Towns in a blockbuster trade with the Knicks.
Team president Tim Connelly could have opted out of his contract this year but agreed to defer the opt-out until the 2025 offseason. If he doesn’t like the direction the way things are going, he could choose to opt out this time around, regardless of who’s running the franchise at that time.

Bloomberg To Join Wolves’ Ownership Group Led By Lore, A-Rod

June 6th, 2024 at 12:37pm CST by Rory Maher

Michael Bloomberg, a billionaire businessman and former three-term mayor of New York City, is joining the Timberwolves‘ ownership group led by Marc Lore and Alex Rodriguez, sources tell Jon Krawczynski and Shams Charania of The Athletic.

Bloomberg has a net worth of over $100 billion, according to Forbes, making him one of the wealthiest people in the world.

Longtime Wolves owner Glen Taylor is currently the controlling stakeholder in the franchise after he nixed the previous tiered payment agreement with Lore and Rodriguez, citing a breach of contract. Lore and Rodriguez disputed that characterization, stating that they had the funds necessary to become majority owners but were awaiting NBA approval and should have been entitled to an extension.

The third payment that it’s in dispute would increase Lore and Rodriguez’ share from 36% to about 80%, per The Athletic, and the purchase agreement stipulates that they could buy out Taylor’s remaining 20% stake anytime before March 2025. That’s where Bloomberg fits in — his investment would help Lore and Rodriguez’s group obtain that final 20%, with Taylor no longer holding a stake.

Lore and Rodriguez have been preparing as though they will assume majority control, but the dispute is still in arbitration and a decision could take months. Bloomberg’s addition would not impact that case, which is only based on the events leading up to the contract’s deadline (March 27). However, if they emerge victorious, Bloomberg could factor into the league’s decision, Krawczynski tweets.

Krawczynski and Charania clarify that while Bloomberg is obviously very well known and a “considerable financial partner,” his investment only represents a portion of the $300MM+ needed for Lore and Rodriguez to purchase Taylor’s final 20%.

Should they emerge victorious in the dispute, Lore and Rodriguez would remain the group’s top decision-makers. According to The Athletic, the group is committed to paying the luxury tax in 2024/25 and beyond if president of basketball operations Tim Connelly makes that recommendation. Taylor has also said he’s prepared to pay the tax next season.

League sources tell The Athletic that Lore and Rodriguez are in the midst of developing plans for a new, privately funded arena to replace the Target Center, which is the second-oldest building in the league. The group believes that could transpire as early as 2031.

According to Krawczynski and Charania, Lore and Rodriguez have also had discussions with Gerry Cardinale about collaborating on a new regional sports network to broadcast Timberwolves and Lynx (WNBA) games, as well as other local teams. Cardinale, the founder of RedBird Capital, has “deep connections to the New York Yankees and played a leading role in the formation of the YES Network in New York, which would serve as a model for a potential new venture in the Twin Cities area.”