Media reports suggesting that Bob Iger will be a primary owner of the Los Angeles Lakers have been significantly overstated, according to sources familiar with the $12.5 billion deal. While Iger is expected to play a role in the team's management, Josh Kushner will be the sole controlling shareholder.
The initial flurry of headlines indicated that Iger and Kushner would be purchasing the NBA franchise, leading to the implication that Iger would hold at least a 50% stake. However, this understanding is inaccurate. Kushner, brother to President Trump's son-in-law Jared Kushner, is set to be the lone controlling shareholder, a position requiring him to personally invest at least $1.875 billion, representing a minimum of 15% ownership under NBA rules.
Questions have arisen regarding Iger's financial contribution. Forbes last estimated Iger's net worth in 2019 at approximately $690 million, and with a significant portion of his wealth tied to underperforming Disney shares, it is widely doubted that his current net worth exceeds $1 billion. In contrast, Kushner's fortune has reportedly surged to $16.7 billion, largely due to the success of his venture firm Thrive Capital's investments, particularly in OpenAI.
Iger is anticipated to be a significant figure in the Lakers' operations, potentially overseeing day-to-day management and serving as a prominent face for the team, possibly in a general manager capacity. However, he will not hold the title of "governor" in NBA terminology, which denotes the ultimate decision-making authority. Sources close to Kushner have confirmed that Iger will be a minority owner and an alternate governor, responsible for leading daily operations but not for final control of the team.
This clarification comes as both parties reportedly seek to correct the narrative surrounding the ownership structure. The NBA must approve the transaction, and a close relationship between Iger and NBA Commissioner Adam Silver, who has been keen to see the Lakers sold due to the current ownership's financial issues, may facilitate this process. The current owner, Mark Walter, is reportedly experiencing financial difficulties, prompting the sale of his 64% stake just 14 months after acquiring the team.
Iger will join a consortium of investors acquiring smaller stakes in the deal, which is being led by Kushner. Todd Boehly, Walter's business partner and owner of Chelsea Football Club, will remain a limited partner. The NBA's approval is a crucial step, and the league's endorsement is generally sought when ownership changes hands. The league's blessing is likely to be a positive factor, especially given Walter's financial situation.
Iger, who previously led Disney and its ESPN subsidiary, has a history of negotiating media rights deals with the NBA, further underscoring his potential value to the franchise. His established relationship with Commissioner Silver is also seen as beneficial during the ownership transition.