The Minnesota Timberwolves and Minnesota Lynx are no longer for sale, owner Glen Taylor announced Thursday, as Taylor says prospective buyers Marc Lore and Alex Rodriguez did not meet their deadline to close the deal. When Lore and Rodriguez agreed to buy a majority stake in the franchises for a reported $1.5 billion in 2021, they arranged to pay Taylor in installments. The acquisition was supposed to close by Wednesday.
The press release from Taylor:
Glen Taylor, Chairman of Taylor Sports Group, Inc., the general partner of Minnesota Timberwolves Basketball Limited Partnership ("Timberwolves and Lynx"), this morning confirmed the expiration of the option of Marc Lore and Alex Rodriguez to acquire controlling interest in the Timberwolves and Lynx.
Under terms of the purchase agreement, the closing was required to occur within 90 days following the exercise notice issued by Lore and Rodriguez. That 90-day period expired on March 27, 2024.
Under certain circumstances, the buyer could have been entitled to a limited extension. However, those 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 necessary resources to compete at the highest levels on and off the court," said Taylor. "The Timberwolves and Lynx are no longer for sale."
Taylor's relationship with Lore and Rodriguez soured during the transition period, and, while Lore and Rodriguez had secured the investment necessary to finalize the sale, Taylor's position is that they didn't meet the deadlines outlined in their agreement, according to ESPN.
More specifically, Taylor's position is that Lore and Rodriguez are not entitled to an extension because the NBA's advisory/finance committee has not reviewed the final part of the sale, the board of governors has not approved it and the money has not been exchanged, according to The Athletic.
Lore and Rodriguez do not agree. The statement from their spokesperson, via The Athletic:
"We are disappointed with Glen Taylor's public statement today. We have fulfilled our obligations, have necessary funding and are fully committed to closing our purchase of the team as soon as the NBA completes its approval process. Glen Taylor's statement is an unfortunate case of seller's remorse that is short sighted [sic] and disruptive to the team and the fans during a historic winning season."
The agreement stipulates that disputes like this are to be resolved by mediation and arbitration, according to The Athletic.
Lore and Rodriguez have purchased 40% of the franchises, and they were scheduled to bump their stake to 80% this week. Earlier this month, the Carlyle Group reportedly pulled a $300 million investment, but Lore and Rodriguez -- a former New York Yankees star -- reportedly secured Dyal Capital Partners, another private equity firm, to give them the backing they needed. The group submitted financial documents to the NBA last week in an attempt to meet the deadline, according to The Athletic.
This season, the Timberwolves are 50-22 and battling for the top seed in the Western Conference. They recently signed guard Mike Conley to a two-year, $20.8 million contract extension, and their payroll is set to skyrocket next season when extensions for stars Anthony Edwards and Karl-Anthony Towns kick in.
