Alex Rodriguez's Timberwolves bid faces $300m hole one week before deadline - Reports
The Minnesota Timberwolves have been impressive this season, with their prioritization of defense being their prominent team identity. Meanwhile, former MLB star Alex Rodriguez was originally working towards completion of his $300 million acquisition of the NBA franchise in 2021 through installments but may fall apart.
According to Minnesota Sports Headlines' David Shama, current Minnesota Timberwolves owner Glen Taylor talked about Rodriguez and entrepreneur Marc Lore losing their financial backing from the Carlyle Group investment firm.
"They had an equity group that was going to come in and put in $300 million," Taylor said, "and that equity group has either withdrawn or the NBA has denied them. They have to go out and find new revenue. That I do know. I don't know if they found it or what they're going to do. We haven't seen the schedule of ownership yet."
The deadline for the next installment is March 27.
ESPN reported that upon completion of that scheduled installment, it will finish the acquisition since Alex Rodriguez and Marc Lore became minority investors in April 2021. Additionally, the acquisition of the Minnesota Timberwolves also includes the WNBA's Minnesota Lynx in the package.
Taylor acquired the Timberwolves in 1994 and the Lynx in 1999, when they were first established.
NBA spokesman addressed reports of the league denying the proposed investment of the Carlyle Group for Rodriguez's Timberwolves bid
According to the Minneapolis Star Tribune's Nick Williams and Chris Hine, NBA spokesman Mike Bass cleared the air on reports of the league interfering with Rodriguez and Lore's plans for acquiring the Minnesota Timberwolves and the Minnesota Lynx. The league played no part in the Carlyle Group's decision to back out of the $300 million investment.
The Timberwolves franchise has yet to make a statement or provide any comments on the matter.
The team is valued at $2.5 billion, which is the second-lowest franchise value in the league.
It remains to be seen how Alex Rodriguez and Marc Lore will adjust, especially with the coming deadline drawing closer. The two minority investors have yet to address the issue in public.
As of now, they own 40% of the franchise with the coming deadline set to give them 80% of ownership, according to the Star Tribune's Nick Williams and Chris Hine.