Lakers Sell For $12 5 Billion One Year After Being Sold For $10 Billion?!

Lakers Sold for $12.5 Billion [0:00]

• The Los Angeles Lakers have been sold for $12.5 billion.
• The deal was reportedly finalized very quickly, with news breaking late last night.

• "this morning as Kushner and Iger by the Lakers from a guy that just bought it last year for 12 and a half billion dollars"

The Buyers: Iger and Kushner [0:00]

• Bob Iger, former head of Disney, and Josh Kushner are the reported buyers.
• The sale comes just a year after the previous owner, Mark Walter, purchased the team.

• "Bob Iger former head of Disney now owner of Lakers"

Rapid Deal Formation [0:00]

• The agreement reportedly closed shortly after a tip was received late last night.
• It took significant effort to confirm the validity of the news.

• "I I got a tip on this last night real late last night LA time I think the the agreement just closed right after right around when I got a tip and stuff"

The Vegas Expansion Connection [0:00]

• Iger and Kushner were initially involved in the process of bidding for an NBA expansion team in Las Vegas.
• The reported cost for the Vegas team was around $10 billion, with additional costs for stadium construction.

• "Iger and Josh Kushner were in the expansion process trying to bid on the Vegas team those talks are going nuts right now I think the number for the Vegas expansion team is climbing close to what Mark Walter paid for the Lakers back last year which was 10 billion dollars"

Strategic Pivot to the Lakers [0:00]

• The potential buyers realized acquiring the Lakers for $12.5 billion was more appealing than building a new franchise in Vegas.
• An offer was made to Mark Walter on Sunday, and he had one day to decide.

• "and at some point these two guys are pretty smart and they go well why would we buy an expansion team for 10 and then have to spend another two and a half to build the stadium in Vegas without at least calling Mark Walter and seeing if we could buy the Lakers for 12 and a half right"

Sale Details and Future Implications [0:00]

• The sale agreement is for Mark Walter's shares, with the Buss family retaining a minority stake.
• The NBA will need to vote and approve the new owners.

• "there is a sale agreement in place right now and it's for Mark Walter's shares so the bus family still has a minority stake in this team"

Investor Background: Thrive Capital [0:00]

• Josh Kushner's company, Thrive Capital, is a significant investment fund.
• Thrive Eternal, a separate fund focused on legacy brands, made its first investment in a minority share of the San Francisco Giants.

• "He owns a company called Thrive Capital which is a big a big fund right now but they started something in May called Thrive Eternal which is a kind of a separate fund that you know in this era of AI and all that they want to invest in eternal type brands and legacy brands"

Brand Value and Market Dynamics [0:00]

• The value of franchises like the Lakers is immense, comparable to other global brands like the Dodgers, Knicks, and Patriots.
• The price of the Lakers at $12.5 billion is seen as logical, especially when compared to the cost and effort of building a new Vegas team.

• "well all around the world I think you can name the the Dodgers the Lakers the Knicks maybe the Patriots now maybe around around the world not just not just the Yankees I mean I think there's five or five or six big teams like this maybe the Golden State Warriors at this point"

Mark Walter's Situation [0:00]

• Mark Walter was reportedly not actively looking to sell the Lakers.
• There has been a federal investigation into Mark Walter, though it predates his purchase of the Lakers and is not believed to be connected to this sale.

• "this is not Mark looking to sell but this was two smart guys who said we should place a call"

Bob Iger's Sports Fandom [0:00]

• Bob Iger is a known sports enthusiast, having previously been a courtside season ticket holder for the LA Clippers.
• He was also involved in efforts to bring the NFL to Los Angeles.

• "I met him when he was a courtside season ticket holder with LA Clippers he was a huge sports fan he tried to help bring the LA the NFL to Los Angeles a few years ago"

Player and Front Office Reaction [0:00]

• Players and front office personnel reportedly found out about the sale around the same time as the public.
• The rapid nature of the deal means many are still processing its implications.

• "I think they found out about when I found out like I don't think this was been nobody had really looped everybody in I don't this happened so fast I think everybody's just making sense of it now"

Financial Readiness for Acquisition [0:00]

• The buyers' financial readiness is evident from their participation in the Vegas expansion bidding process.
• This suggests they had already undergone some level of vetting by the NBA.

• "clearly they had their financials in order because they were in the expansion process so if you're already bidding on the expansion process you you got you got the money lined up and so I they've already been vetted to some extent by the NBA"

Impact on NBA Expansion Valuations [0:00]

• The high valuation of the Lakers sale may drive up the price for the proposed expansion teams in Las Vegas.
• The proximity of Las Vegas to the LA market makes acquiring an established team like the Lakers a more attractive option.

• "and and uh geez everybody gets his cut of that and and when you know Vegas is pretty much an LA market like when the Lakers play a preseason game they're all Laker fans there and so this is um this is now LA uh being you know if you if you buy Vegas when you can buy LA"

International Expansion Potential [0:00]

• With Bob Iger's international business connections, the Lakers may see increased global reach and international tours.
• The presence of a superstar like Luka Dončić could further enhance their international appeal.

• "and Bob's got relations so many relationships internationally business-wise not that Kushner does it from our understanding but yes I would assume the Lakers are about to become international we're going on tour especially with Luca"

Comparison to Other Sports Valuations [0:00]

• The $12.5 billion valuation of the Lakers prompts comparisons to other major sports franchises, such as the Dallas Cowboys.
• It raises questions about the potential market value of other high-profile teams.

• "The Lakers are worth how much yep 12 and a half billion what should say we want 40 and that seems yeah no shit actually and then somebody said well that makes the Dallas Cowboys worth like 16 15 it's like you think if the Dallas Cowboys weren't for sale they wouldn't be able to get 25 probably"

The Landscape of Sports Ownership [0:00]

• The conversation touches on the scarcity of individuals with the immense wealth required to purchase major sports franchises.
• Venture capital and hedge funds, like Thrive Capital, are becoming increasingly important in these transactions.

• "well see actually that's a huge part of the conversation in society right now is that there's more people that are getting that amount of money but not nearly enough people are able to get that amount of money and do you need that amount of money for anything other than trying to buy a professional sports team"