It’s no secret in Hollywood that Peter Guber is really really rich. So, like most rich guys, he’s indulging his sports fantasies. CNBC just broke the news that he’s bought the NBA team with Joe Lacob, managing partner at private equity firm Kleiner Perkins, for the winning bid of $450 million, beating the previous NBA record of $401M (paid for the Phoenix Suns in 2004). What CNBC did not report was that Guber, the chairman of Mandalay Entertainment and former chairman of Sony Pictures Entertainment, is an add-on to Lacob’s bid. They beat out rival bidder Larry Ellison, the CEO of Oracle. (And the Warriors play at Oracle Arena!) Lacob bought a share of the Boston Celtics in 2006. Guber’s Mandalay Entertainment already owns and operates minor league teams, including two affiliates of the New York Yankees. The sale was brokered by Galatioto Sports Partners. The Warriors franchise was bought by Chris Cohan in 1995 for $119M, and since then has had the 2nd worst record in the league behind the LA Clippers. And NBA commissioner David Stern has said the league as a whole will lose $370M from this past season, and there might be a work stoppage after next season. Still, the Golden State team was valued at $315M by Forbes in December of last year because “the Warriors’ location in the Bay area undoubtedly added more interest and thus a higher price,” CNBC said. Now the NBA’s Board of Governors needs to approve the new owners, which is considered a formality.
This article was printed from https://deadline.com/2010/07/peter-guber-buys-golden-state-warriors-54154/