Mark Cuban is selling his majority stake in the Dallas Mavericks, NBA insider Marc Stein reports.
Billionaire Las Vegas casino tycoon Miriam Adelson and the Adelson family are currently in the process of buying Cuban’s majority stake in the NBA franchise.
According to reports from Stein and The Athletic’s Shams Charania, Cuban is still expected to keep shares in the team and retain full control of basketball operations.
One of the most famous owners in all of American sports, Cuban’s sale of the Mavericks comes as a shock to many with the 2023-24 NBA season underway.
Cuban, 65, has been the majority owner of the Mavericks since 2000 and was one of the most hands-on, front-facing governors in the sport.
For more on Cuban’s sale of the Mavericks, The Sporting News has you covered below.
Why did Mark Cuban sell the Mavericks?
According to multiple reports, Cuban is selling a majority stake in the Mavericks to Adelson for “in range of” $3.5 billion, but he will keep shares in the team and retain full control of basketball operations.
In Forbes’ recent evaluation of the most valuable NBA franchises, the Mavericks ranked seventh at an estimated $4.5 billion, but “the unique structure of the agreement figures to hold far greater appeal to Cuban than making a deal at a higher franchise valuation,” Stein reported.
“It is poised to allow him — for the foreseeable future — to function with the same hands-on ownership style he has employed for nearly 24 years.”
There have not been any official statements from Cuban or the Mavericks, but the billionaire businessman shared in an interview with The Dallas Morning News in Dec. 2022 that he had hoped to partner with Adelson’s “Las Vegas Sands” to build a new arena for the Mavericks.
“My goal, and we’d partner with Las Vegas Sands, is when we build a new arena, it’ll be in the middle of a resort and casino,” Cuban said. “That’s the mission.”
While sports betting and casinos are still currently illegal in Texas, Cuban and Adelson are already taking the necessary steps toward Cuban’s goal for the Mavericks’ next arena with this partnership.
Dallas currently plays at American Airlines Center, which was built in 2001. Its 30-year lease expires on July 28, 2031, according to Forbes, giving Cuban and Adelson plenty of time to lay out the blueprint.
Who is Miriam Adelson?
Miriam Adelson is the largest shareholder of the Sands Las Vegas billion-dollar casino and resort company. She was married to Sands Las Vegas founder Sheldon Adelson, who passed away in Jan. 2021.
Adelson is listed as the fifth-richest woman in the world by Forbes.
She revealed in a company announcement on Tuesday that she is selling $2 billion worth of company stock in Las Vegas Sands corp. to fund the “purchase of a majority interest in a professional sports franchise pursuant to a binding purchase agreement, subject to customary league approvals.”
How much did Mark Cuban buy the Mavericks for?
Cuban purchased the Mavericks in Jan. 2000 for a price of $285 million.
With the reported sale price of approximately $3.5 billion, Cuban will return roughly $3.22 billion in profit.
Mark Cuban’s history with the Mavericks
Cuban took over the Mavericks in Jan. 2000 when the franchise had been no further than the Western Conference Semifinals in its 20-year history. Under Cuban’s ownership, the Mavericks became one of the most consistently successful franchises in the NBA.
They made the playoffs in the first 12 seasons with Cuban’s guidance, including two NBA Finals appearances and the first NBA title in franchise history, upsetting LeBron James, Dwyane Wade, Chris Bosh and the Miami Heat.
Dallas only missed the postseason five times in Cuban’s 23 years as majority owner.
Source : ESPN.com