According to reports, NBA legend Michael Jordan plans to sell his majority stake in the Charlotte Hornets after 17 years of ownership, with 13 years as the majority owner.
Sources have revealed that Jordan intends to sell his shares to a consortium led by Gabe Plotkin and Rick Schnall. The estimated value of the transaction is $3 billion.
While Schnall is a minority owner of the Atlanta Hawks, Plotkin holds minority shares in the Hornets. It is anticipated that Jordan will retain a minority stake and maintain a presence within the franchise.
Jordan initially acquired a minority stake in the Hornets in 2006 and assumed majority ownership in 2010, making him the first former NBA player to become a majority owner of a franchise.
In 2020, he sold a significant minority stake to Plotkin and Daniel Sundheim, who is part of the group purchasing the Hornets. Schnall was involved in the acquisition of the Hawks in 2015 for $850 million. The exact amount being paid for the Hornets has not been disclosed.
Throughout Jordan’s tenure with the Hornets, the team has faced challenges such as poor performance, unfortunate deals, and questionable management, including Jordan’s own decisions.
Since assuming majority ownership in 2010-11, the Hornets have achieved a combined record of 423-600, with only three winning seasons. The timeline for the completion of the sale process by the NBA’s Board of Governors remains uncertain.
Jordan is expected to retain a stake in the Hornets, which he initially purchased for approximately $275 million in 2010. NBA Commissioner Adam Silver acknowledged Jordan’s right to sell and noted the significant increase in team values since his purchase.
The sale price has not yet been announced. The most recent NBA team sale occurred in December when Mat Ishbia bought the Phoenix Suns, valuing the franchise at $4 billion.
The potential new ownership group for the Hornets, subject to approval, includes recording artist J. Cole, Dan Sundheim, Ian Loring, country music singer-songwriter Eric Church, and several local Charlotte investors, including Amy Levine Dawson and Damian Mills