Carlyle Group won’t move forward with Alex Rodriguez, Marc Lore’s investment in Minnesota Timberwolves, Lynx

Carlyle Group, a Washington, D.C.-based investment firm, decided not to move forward in a deal that would have provided structural financing to Marc Lore and Alex Rodriguez as they try to finalize their deal to buy the Timberwolves and Lynx from Glen Taylor, a source familiar with the negotiations told the Star Tribune.

The $1.5 billion acquisition by Lore and Rodriguez was set to close by the end of March. Lore and Rodriguez own 40% of the team and were on track to assume 80% ownership by then. The deal with Carlyle would have aided this next payment.

Those involved with the deal have said both Rodriguez and Lore still plan to come through with their final 40% installment and finalize their purchase of the Wolves.

The investment from Carlyle needed approval from the NBA, but during negotiations, Carlyle and the NBA could not reach an agreement, the source said. As a result, Carlyle decided to not move forward.

Other outlets reported the NBA blocked the deal, but NBA spokesman Mike Bass said the league “did not deny Carlyle’s proposed investment in the Minnesota Timberwolves and Lynx.”

The Timberwolves had no comment.

The NBA previously stated the transaction will close following league approval. Taylor, who also owns the Star Tribune, acquired the Timberwolves in 1994.

The Timberwolves are valued at $2.5 billion, the second-lowest of the 30-team league, but still nearly four times the team’s value a decade ago, according to Forbes.

Within its portfolio of investments, Carlyle Group provides financing to businesses interested in acquiring entities in sports and entertainment. The firm, which finished 2023 with $426 billion in assets under management, has deployed more than $4 billion into sports and entertainment since 2018 and recently reached an agreement to acquire the Seattle Reign FC of the National Women’s Soccer League.

David Rubenstein, who co-founded the Carlyle Group, earlier this year bought the Baltimore Orioles for $1.75 billion.

Source link

Related Articles

Leave a Reply

Your email address will not be published. Required fields are marked *

Back to top button

Get our latest downloads and information first. Complete the form below to subscribe to our weekly newsletter.

    Input this code: captcha