Marc Lasry and Wesley Edens are reported by ESPN to have purchased the Milwaukee Bucks for $550 million. The two private equity personalities have taken the team over from Herb Kohl, long-time owner of the team.
Here’s what you need to know:
1. The Paid Around $150 Million More Than the Team’s Reported Value
According to Forbes, the franchise are the least valuable in the NBA. Their valuation from the finance magazine was at $405 million. Kohl has managed to sell for a reported $550 million, resulting in a pretty tasty profit.
2. They’re Going to Build a New Arena
Bucks beat writer Gery Woelfel tweeted that part of the sale price will be redirected towards paying for a new arena. The prospective cost of an arena will be around $420 million.
3. The Bucks Are the Worst Team in the NBA
4. Herb Kohl Wouldn’t Sell to Anyone Who Would Move the Team
The new owners have no plans to move the team from Milwaukee. Former owner Herb Kohl said that he wouldn’t sell the team to anyone who planned to move. This meant that a possible sale to Steve Ballmer and Chris Hansen was off the table. Those two wanted to bring the Bucks to Seattle to replace the Sonics who left Washington in 2008.
5. Lasry Describes Himself as a ‘Competitive Basketball Player’
— Jennifer Ablan (@jennablan) September 10, 2013
Marc Lasry’s estimated wealth is $1.7 billion. His company First Avenue Capital was formed in 1995. He’s said to be a “competitive basketball player.” The other player, Wes Edens, has company called Fortress which is New York based.