Mark Walter has agreed to sell the Los Angeles Lakers for $12.5 billion, a transaction that arrives 14 months after his initial purchase of the team and amid federal scrutiny of his financial empire. The deal, which values the franchise at $12.5 billion, is with Thrive Capital founder Josh Kushner and former Disney CEO Bob Iger and requires approval from the NBA's board of governors.
Hours after the agreement was announced, reports surfaced that Walter's holding company, TWG Global, is seeking additional capital to reduce loans held by its insurance companies. These transactions have drawn the attention of federal authorities, including prosecutors in the Southern District of New York and the Securities and Exchange Commission, who are reportedly examining approximately $16 billion in private-credit transactions involving insurers controlled by Walter.
These federal investigations reportedly began after an internal whistleblower raised questions about how Guggenheim Investments recorded revenue from dealings with the insurers. Authorities are also investigating whether loans supporting other parts of Walter's business were properly classified as related-party transactions. Walter has not been charged with any crimes, and such investigations can conclude without enforcement action.
The Lakers, Dodgers, and Sparks have not been identified as targets of the investigations. Walter will retain control of the Dodgers and the Sparks are excluded from the Lakers transaction. The sale of the Lakers, if finalized, is expected to advance Walter's broader efforts to address the concerns surrounding the loans, though it remains unclear if the proceeds will directly repay them.
Walter described owning the Lakers as "one of the great honors" of his life. Iger and Kushner stated that the opportunity to oversee the franchise is an extraordinary privilege, with Iger noting that discussions accelerated quickly once the team became available. The Lakers are changing hands for the second time in just over a year, with the incoming ownership group inheriting an iconic franchise built around star player Luka Dončić.