Know the profit made by Michael Jordan from the sale of Charlotte Hornets
Sports franchise sales usually generate a great deal of curiosity and attention, especially when they feature recognisable names. One of the greatest basketball players of all time, Michael Jordan, just sold the Charlotte Hornets, garnering media attention. Everyone wants to know how much money Jordan made on this deal.
How much did Michael Jordan make in profit from the sale of his Charlotte Hornets stake and ownership structure in 2023
From Jordan’s first investment in the club to the factors that contributed to its increasing value over the years, we explore the financial repercussions of this public sale and shed light on the goals and intentions of the new owners who stepped in Jordan’s footsteps.
Michael Jordan sold the bulk of his Hornets stock.
The legendary Michael Jordan has announced the sale of the Charlotte Hornets’ majority ownership, officially ending his 13-year tenure as the team’s owner. The agreement’s financial details have not been made public, although the GOAT of Basketball will continue to own a minority stake in the business that he bought in 2010 for around $275 million.
The Hornets struggled to achieve significant on-court success during MJ’s ownership, concluding with a record of 423-600 and a dearth of postseason victories. Despite this, Jordan’s decision to sell the majority interest is predictable given that speculation about his plan to leave the NBA ownership business first surfaced in 2020, the same year that he sold a minority investment to Gabe Plotkin and Dan Sundheim.
The absence of Black majority ownership in the NBA has been a topic of discussion since the Hornets were sold to a group led by Plotkin and Rick Schnall. It also calls into question diversity and engagement within ownership groups, a problem that NBA Commissioner Adam Silver has prioritised. The new ownership group, pending approval, assembles a diverse collection of people, including recording artist J. Cole, and is tasked with shaping the Hornets franchise’s future, both on and off the court, as the veteran moves to a minority owner.
How much profit Jordan is expected to make?
The financial consequences of Michael’s decision to sell a majority stake in the Charlotte Hornets have generated much estimation. The $3 billion purchase is now being finalised with a consortium managed by Gabe Plotkin and Rick Schnall. This noteworthy estimate takes into account both the amazing rise in NBA franchise prices and the league’s position as one of the most lucrative in the world.
The Hornets were acquired by GOAT for $275 million in 2010, so any hypothetical deal would represent a fantastic return on investment. In order to show his continued commitment to the club, Jordan will retain a minority ownership position while selling a majority investment.
The deal serves as an example of the rising tendency of wealthy people—including billionaires—to spend a lot of money on sporting teams. The NBA has recently experienced a number of sales that set records, notably the $4 billion acquisition of the Phoenix Suns by billionaire Mat Ishbia.
Jordan’s 13-year tenure as the Hornets’ owner comes to an end with the sale, which is awaiting clearance from the NBA Board of Governors. Additionally, it suggests that the NBA no longer has a majority-Black franchise owner, which raises questions about diversity and representation among ownership groups. The sale of the Charlotte Hornets clearly represents a big financial milestone in the world of professional sports ownership as more financial information comes to light.