Toronto, Canada – The Brooklyn Nets could potentially be welcoming a major new minority owner in the form of David Koch Jr., a member of the billionaire Koch family. Reports indicate that Koch is currently in discussions to purchase a stake in the team and its holding company, BSE Global, which also owns the New York Liberty of the WNBA and the Barclays Center.
While there have been rumblings of Nets owner Joe Tsai considering the sale of a minority share for the past year, talks now appear to be advancing with the potential involvement of the Koch family’s investment vehicle, 1888 Management. The value of the Nets has been estimated at $3.98 billion by Sportico, making them the fifth-most valuable team in the city, according to industry sources.
Bloomberg News reported that there is currently no agreement on a sale of a minority stake in the team. However, speculation is rife that the stake could be sold at a valuation of $4.8 billion, significantly higher than the estimated value of the team. This report notes that the Koch Brothers’ family investment vehicle, 1888 Management, is showing an interest in acquiring the stake.
The Koch family, known for its immense wealth and influence, is estimated to be worth around $64 billion. If the deal were to go through, they would become the second-richest ownership group involved with the NBA, after Clippers billionaire Steve Ballmer. The family has strong ties to basketball, with past support for Wichita State basketball.
These potential developments mark a significant moment for the Brooklyn Nets and could reshape the ownership landscape of the team and its associated entities. It is a story worth following closely as it unfolds, with the possibility of a major new force entering the ownership ranks of the NBA.