The nearly five-year ownership battle for the NBA’s Minnesota Timberwolves and the WNBA’s Minnesota Lynx is set to go in front of an arbitrator in January, Sportico reported Wednesday.
The $1.5 billion sale of the teams to Marc Lore and Alex Rodriguez was put in limbo in March when current owner Glen Taylor pulled both franchises off the market, claiming that the buyers missed a payment deadline.
At that time, Sportico had valued the two teams at well over $3 billion. Taylor purchased the Timberwolves in 1995 for $88.5 million.
A statement from Lore and Rodriguez in March said Taylor was having “an unfortunate case of seller’s remorse.”
Mediation took place, as required by contract, but no resolution was reached, resulting in binding arbitration.
According to the report, even if the ownership matter were settled in arbitration, the decision still could be petitioned to a federal judge. There is precedent for the case to ultimately be heard in the U.S. Court of Appeals.
While NBA owners approved the sale in 2021, that approval process would have to be conducted again if the arbitrator rules in favor of Lore and Rodriguez.
The duo had already made 40 percent of the payment for the two franchises over two separate stages per terms of the 2021 sale agreement. The deal hit a snag on the third stage when Lore and Rodriguez were supposed to purchase another 40 percent and take ownership control of both franchises. A fourth stage to purchase the final 20 percent has not been reached.
In addition to the Timberwolves’ reported current value of $2.94 billion, Sportico values the Lynx at $85 million.
–Field Level Media
