After a lot of pressure from all sides, chief among them the sponsors, Robert Sarver decided to sell the Phoenix Suns (and Mercury). Ramona Shelburne has already mentioned the biggest potential names as potential presenters – Jeff Bezos, Larry Ellison, and Lauren Jobs, to name a few. The first forecast that came out was Suns of about $2.5 to $3 billion. Ringer’s Bill Simmons thinks it’s going to be a lot more than that.
Only 8 perks
Expanding the NBA is only a matter of time at this point. We will soon have 32 teams in the league, and it looks like Seattle and Las Vegas will be very excited. So in the near future, there will be 32 teams to own and a lot of billionaires to own. That’s why the combination of a lot of people who have made ridiculous amounts of money in the last decade and not a lot of teams for sale has dramatically increased the price of an NBA team.
- The Rockets went for $2.2. billion in 2017
- Nets went to $2.35 billion. With Square, it rose to about $3.4 billion in 2018
- Jazz gold for $2 billion in 2020
- $1.5 billion in 2021
The Wolves’ income never went below $2 billion just because they were in Minnesota; Apparently Glen Taylor really wanted to sell to A-Rod and threw in a discount to help him close the deal. Bill Simmons believes that the floor of an NBA team, any team, is $2 billion. If you don’t have it, don’t try to connect. But according to Simmons, there are only a few teams that are really worth participating.
“There are only 8 truly amazing NBA franchises to own. Lakers, Knicks, Warriors, Bulls, Celtics, Mavericks. I would like to throw the heat Because of the organization they have built, the location, the fact that they have always been able to get good players and that there is a lot of money in South Beach. This is seven and The suns are eight. What’s so interesting about that? Only the sun will be available out of these eightAnd theSimmons explained.
The Boston athlete noted that he did not have Clippers or Nets on the list despite the fact that they are in the two biggest markets in the NBA. Being the second team in Los Angeles and New York isn’t as cool as being the only team in Phoenix. why is that?
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“Phoenix is a wealthy Meccan. Great fans, you have a whole history, you have Devin Booker in his place. But the important thing – it’s an hour from Los Angeles and an hour from the Bay Area. You can attract every rich man from these two points and they can fly and be the owner of the team.”
Despite the criticism Kardashian faces for taking the 15-minute private jet ride, billionaires measure the distance in these terms. The dollar holders are New York financiers who travel to Milwaukee for home games. Steve Ballmer still lives in Seattle and flies to Los Angeles whenever he needs to.
Above all else, owning an NBA team elevates you from billionaire to billionaire. Owning one of the eight makes you globally known. Simmons calls it a vanity tax. Did you hear about Joe Lacobe before he bought the Warriors? exactly.
Combine all of that and you’ll get a wild prediction.
5 billion dollars
Insiders like Brian Windhurst predicted the price would be somewhere in the $2.3 to $3 billion range. Given the prices the Rockets, Nets, Jazz, and Wolves went, this seems like a reasonable expectation. But given his theory of “only 8 teams,” Simmons thinks that’s pretty weak.
“This valuation is going to be much higher than people think. I told you this with the Clippers eight years ago, and I’m telling you now. The Suns will be valued at over $4 billion. Mark my words, you can throw it in my face if I’m wrong; I’m not wrong. I think.” It could be close to $5 billion. I think it would be in the $4.5 to $5 billion range.”
Sarver owns about a third of the Suns. He has the option of having all the other owners sell their stock as well, or he can just sell his part of the team. If Suns goes for $4.5 billion, that means Sarver will get about $1.5 billion for his stake.
If Sarver sells for that many, Simmons expects there will be owners who will start to question their team’s sale as well. If you don’t have a succession plan, and you’re in the last 9 years of your life, you’ll want to sell at peak. This may be it.