Michael Jordan to Buy Controlling Stake in Charlotte Bobcats

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MJ to buy controlling stake in Bobcats

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Associated Press

CHARLOTTE, N.C. -- He has been called the NBA's greatest player and one of the country's top pitchmen.


Jordan
Now Michael Jordan is ready for a new title: NBA owner.
With minutes to go until his exclusive negotiating window was to expire, Jordan struck a deal late Friday night to buy controlling interest of the Charlotte Bobcats, putting the six-time NBA champion in charge of the money-losing team in his home state.
Owner Bob Johnson announced in a statement that he's agreed to sell the Bobcats to Jordan, who has been a part-owner of the team since 2006. Jordan has been running the team's basketball operations.
The purchase price and details of Jordan's ownership group -- called MJ Basketball Holdings LLC -- weren't immediately available. A spokeswoman for Johnson and a spokesman for Jordan said neither was available for comment early Saturday.
The league's owners must approve the purchase.
Jordan was in competition with former Houston Rockets executive George Postolos, who also had an ownership group together to buy the team. But Postolos said Jordan had the exclusive right to buy the club until just before midnight Friday night.
Jordan hit another last-second shot -- reaching a deal minutes before the deadline.
"I remain committed to becoming an NBA owner, and I'm glad that Michael will continue to bring his talent to the sport and the league," Postolos said in a phone interview with The Associated Press. "He's very, very committed."
It will end Johnson's stint as the first black majority owner of a major professional sports team. Jordan becomes another black owner in another milestone for the Hall of Famer, but one that comes with many challenges.
Jordan, a five-time NBA MVP and 14-time All-Star, has made millions selling sneakers, apparel and other items. Now he'll begin a completely different role trying to make the Bobcats a winner, and the franchise and Charlotte's downtown arena profitable.
After paying $300 million for the expansion team that began play in 2004-05, Johnson has accumulated about $150 million in debt and the team is expected to lose tens of millions this season as they struggle to draw fans and find sponsorships.
Johnson, the founder of Black Entertainment Television, shook up management several times before recruiting Jordan to be a minority investor while giving him the final say on all basketball decisions.
Jordan, who turned 47 this month, has had a unique role with the Bobcats. General manager Rod Higgins runs the day-to-day basketball operations and Jordan has rarely attended practices or games, or worked on the marketing side of the operation.
Jordan has had some missteps -- drafting the disappointing Adam Morrison No. 3 overall in 2006 -- but he was also able to lure Hall of Famer Larry Brown to become coach at the beginning of last season.
Jordan and Brown have made seven trades involving 21 players since the start of last season. The November acquisition of Stephen Jackson from Golden State has helped Charlotte get into playoff contention in the Eastern Conference.
But attendance has still lagged, and Jordan has been criticized in Charlotte for rarely being seen -- despite his iconic status in the state.
Jordan grew up in Wilmington, N.C., led North Carolina to the 1982 national championship with a last-second shot, then remained one of the state's favorite sons when he starred with the Bulls.
Jordan's first stint as an NBA executive came with the Washington Wizards, where he was roundly criticized for drafting Kwame Brown with the No. 1 overall pick in the 2001 draft.
He changed roles when he returned briefly as a player, then was fired by owner Abe Pollin in 2003 when he tried to return to his role running the basketball operations.
No one will be able to fire Jordan after he takes control of the Bobcats, and it's likely the team will not change much in the front office.
Jordan's close friend, Fred Whitfield, is team president, and Higgins was Jordan's hire.

Copyright 2010 by The Associated Press


Michael Jordan strikes deal to buy controlling interest of the Charlotte Bobcats - ESPN

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Jordan purchase of Bobcats approved

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Associated Press

CHARLOTTE, N.C. -- Michael Jordan became a basketball star at North Carolina. Now he'll try to turn around the state's money-losing NBA team by becoming the first ex-player to be a majority owner in the league.
The NBA's Board of Governors on Wednesday unanimously approved Jordan's $275 million bid to buy the Charlotte Bobcats from Bob Johnson. Jordan will take over the team immediately after serving as a minority investor with the final say on basketball decisions since 2006.
"Purchasing the Bobcats is the culmination of my post-playing career goal of becoming the majority owner of an NBA franchise," Jordan said in a statement. "I am especially pleased to have the opportunity to build a winning team in my home state of North Carolina.
"I plan to make this franchise an organization that Charlotte can be proud of, and I am committed to doing all that I can to achieve this goal."
The six-time NBA champion and five-time league MVP will be charged with turning around the fortunes of the 6-year-old Bobcats, who are on pace to lose about $30 million this season because of sluggish ticket and sponsorship sales.
The 47-year-old Jordan, who will assume about $150 million in debt in the deal, becomes the second black majority owner of a major pro sports team. He replaces the first in Johnson, who paid $300 million for the expansion franchise, but lost tens of millions annually and saw the value of the team decline as Charlotte fans struggled to warm to the NBA again after the Hornets left for New Orleans in 2002.
"The best decision I made since acquiring the Bobcats was to convince my friend Michael to become an investor in the Bobcats and to appoint him as managing member of basketball operations," Johnson said in a statement. "As the new majority owner of the Bobcats, his dedication will be stronger now more than ever."
Commissioner David Stern predicted last week the deal would be approved easily by the league's owners. Stern said last week that background and financial checks on Jordan produced nothing that would stop the deal, and expressed optimism Jordan's iconic status in this area will boost the franchise.
Jordan grew up in Wilmington, N.C., and led North Carolina to an NCAA title with a last-second shot before starring with the Chicago Bulls. Jordan briefly ran the Wizards basketball operations and returned as a player with Washington before being fired from his management role in 2003.
"We are pleased that Michael Jordan's purchase of majority ownership of the Bobcats was approved by the NBA's Board of Governors and closed in such a smooth and expeditious fashion," Stern said. "We look forward to the continued growth of the Bobcats, on and off the court, under his leadership."
The Bobcats (34-32) entered Wednesday's home game against Oklahoma City in sixth place in the Eastern Conference as they eye their first playoff berth. Team officials hope a playoff appearance after Jordan took control would boost interest and ticket sales in the franchise, which plays in a 5-year-old downtown arena.
"While there is still plenty of work to do both on and off the floor, our attendance, television ratings, corporate support and on-court performance are headed in the right direction," Bobcats president Fred Whitfield said. "That trend will only continue as Michael transitions into all facets of our business."
Jordan, who has declined interview requests since striking a deal to buy the team on Feb. 26, is scheduled to hold a news conference Thursday night.

Copyright 2010 by The Associated Press


Sale of Charlotte Bobcats to Michael Jordan approved by NBA Board of Governors - ESPN