Minnesota Timberwolves and Lynx owner Glen Taylor released a statement Thursday saying the opportunity for Marc Lore and Alex Rodriguez to take control of the franchises has expired, meaning he plans to retain his status as majority owner of the two basketball teams.
In the statement, Taylor also said, “Under the terms of the purchase agreement, closing was to occur within 90 days of exercise notice issued by Lore and Rodriguez. This 90-day period expired on March 27, 2024.
“In certain circumstances, the buyer may have been entitled to a limited extension. However, these circumstances did not occur.
“I will continue to work with Marc, Alex and the rest of the ownership group to ensure our teams have the resources necessary to compete at the highest levels on and off the field. The Timberwolves and Lynx are no longer for sale.
It was a stunning turn of events in the three-year saga, coming just over a week after Lore and Rodriguez submitted signed financial documents to the league to show they had the money needed to finalize the deal. purchase of 1.5 billion dollars.
Taylor’s statement said he believes Lore and Rodriguez did not meet all of the parameters outlined in the purchase agreement to move forward with the process.
“We are disappointed by Glen Taylor’s public statement today,” a spokesperson for Lore and Rodriguez said. “We have fulfilled our obligations, have all necessary financing in place and are fully committed to finalizing the purchase of the team as soon as the NBA completes its approval process. Glen Taylor’s statement is an unfortunate case of government remorse. salesman, short-sighted and disruptive to the team and fans during a historic, winning season.
Last week, the two men submitted financial documents to the NBA as they finalized their purchase of a 40 percent stake that would move them from limited partner status to majority owner. Today, this rise seems threatened.
What happens next is not immediately known. The purchase agreement provides for mediation and arbitration to resolve such disputes, league sources said. Athleticism.
Exactly when this will happen and how long it will take remains to be seen. Under the terms of the deal, Lore and Rodriguez retain the 40 percent of the team they already purchased.
The situation comes to a head when the Timberwolves are having their best season in 20 years. They are 50-22 and just a half-game behind the Denver Nuggets for first place in the Western Conference with a big game in Denver on Friday night.
“We’re just saying we had a contract with you guys, you’ve had your time and that’s the end of the contract and we’re kind of continuing to operate the way we have been,” Taylor told Athleticism. “I just think I built this team. We have the players now. And it seems to me that we should have a very positive journey for several years, and I want to be part of that.
What this means
As it stands, this appears to result from Taylor’s interpretation of the deal versus the opinion of Lore and Rodriguez, who believe that the filing of financial commitment letters last week was sufficient to show that the process can move forward.
According to the release, Taylor estimates that when Lore and Rodriguez exercised their option to purchase the remaining 40% of the transaction, it opened a 90-day window for them to complete the entire closing. The deal required Lore and Rodriguez to complete several steps within that window, so that when March 27 rolled around, it would all be completed.
But Taylor’s take on the deal shows the potential owners missed several criteria along the way, including not yet undergoing final review by the NBA Finance Committee, not to receive a letter of approval or vote from the Board of Governors. No money has been exchanged yet.
Taylor believes that because these obligations were not met, Lore and Rodriguez were not eligible for an extension to complete this process and the option therefore expired. Assuming Taylor retains full control of the team, he is not expected to put it back on the market, league sources said. Athleticism.
Lore and Rodriguez will likely say they fulfilled all their obligations and were eligible to get the final 90-day extension to go through the league approval process, board of governors vote and gain access to majority ownership .
It remains to be seen whether this issue will ultimately end up in the court system, be resolved through mediation/arbitration or any other means.
The consequences
When the deal was first announced, it was described as the ideal partnership between one of the league’s historic owners and two younger, ambitious successors who could bring energy and a fresh perspective to a long-struggling franchise.
At the time of the deal, the Timberwolves had made just one playoff appearance in the previous 17 years and were coming off a 23-49 season in 2020-21.
After years of searching for the right buyers, Taylor thought he had finally found the right person.
“Shaking their hands made you feel like you had a deal. Sometimes when you shake people’s hands, I wonder if they’re going to make it,” Taylor said. Athleticism in 2021, shortly after the deal closes. “But I was really confident. The way they do business is so similar to the way I do business.
Lore and Rodriguez visited Taylor and his wife, Becky, at their home in Naples, Florida, to shake hands over homemade burgers, just how Taylor prefers to do business.
“I think it was just about building that mutual trust early on, getting to know him and Becky,” Lore said. Athleticism in 2021. “We were at his house. We were able to see where he lives and how he lives. We shared a lot about our journey, about how we grew up.
Lore and Rodriguez have gained significant influence over major decisions over the past three years, aiming to make the transition to their reign as smooth as possible. They played a key role in recruiting President of Basketball Operations Tim Connelly away from Denver, made several high-profile hires in the management ranks on the team’s business side and were a regular presence on the field at the Target Center and on the road.
But recently, signs of division have emerged between the two groups. Taylor has given several interviews in recent months, openly questioning whether Lore and Rodriguez had the money to complete the deal. Determining that the option has expired and not granting the extension to Lore and Rodriguez is a sign that Taylor has lost the warm feelings he once had for them.
This could spark a prolonged battle for control of the team, even as the team prepares for the playoffs.
(Photo: Kiyoshi Mio / USA Today)