Embattled NBA Owner Makes $4B Deal

Mortgage executive Mat Ishbia has agreed in principle to buy a majority stake of the Phoenix Suns and Phoenix Mercury from the embattled owner Robert Sarver for $4 billion, the sides announced Tuesday. The sale is expected to take several weeks to complete, the AP reports. Ishbia—who is chairman, president and chief executive of United Wholesale Mortgage, which bills itself as the nation’s largest mortgage lender—will be subjected to a vetting process by the NBA, and once that is complete, the league's board of governors will have to approve the sale. The board isn’t scheduled to meet until March, though it could convene virtually if the vetting process is completed beforehand.

Forbes recently listed Ishbia’s net worth at $5.1 billion. Ishbia is a former Michigan State player under coach Tom Izzo, and was a member of the Spartans' NCAA championship team in 2000. “I am extremely excited to be the next Governor of the Phoenix Suns and Mercury," Ishbia said in a statement Tuesday night. “Both teams have an incredibly dynamic fan base and I have loved experiencing the energy of the Valley over the last few months." If the sale closes at $4 billion, it would be the largest purchase in NBA history. Joe Tsai bought the Brooklyn Nets and Barclays Center for $3.3 billion in 2019, and Tilman Fertitta purchased the Houston Rockets for $2.2 billion in 2017. The only other NBA franchise known to be sold for $2 billion or more was the Los Angeles Clippers to Steve Ballmer in 2014.

“I had a great call with fellow Spartan Mat Ishbia congratulating him on his purchase of the Phoenix Suns,” Magic Johnson, another Michigan State alum, tweeted Tuesday. “He’s going to do great things not only for the Suns organization, but for the entire league. All of the other 29 NBA teams better watch out because Mat’s a winner!" Justin Ishbia, Mat's brother, also will be part of the ownership group, pending approval. Mat Ishbia will be the team's governor, Justin the alternate governor. The NBA suspended Sarver in September for one year, plus fined him $10 million, after an investigation found he had engaged in what the league called “workplace misconduct and organizational deficiencies.” Shortly afterward, Sarver announced he would be looking to sell the Suns, which he bought in 2004 for $401 million, and the Mercury.

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