A pivotal decision has been made in the ongoing ownership saga of the Minnesota Timberwolves, as a three-person arbitration panel has ruled in favor of Marc Lore and Alex Rodriguez, according to ESPN’s Brian Windhorst and Shams Charania. The ruling allows them to move forward in their bid to become the majority owners of the franchise, surpassing current owner Glen Taylor.
The split decision announced Monday marks a significant victory for Lore and Rodriguez, who had been embroiled in a legal battle over a sales contract dispute with Taylor. The ruling sets the stage for a vote by the NBA’s Board of Governors to officially approve the sale of the Timberwolves.
In the dispute, the arbitrators determined that Taylor had violated the terms of the sales agreement when he claimed Lore and Rodriguez had missed a crucial deadline in March 2024. This deadline was for a $600 million payment that would have finalized their purchase of an 80% majority stake in the Timberwolves.
Lore and Rodriguez had previously disputed Taylor’s interpretation of the contract, arguing that they were entitled to a 90-day extension to make the payment. The matter went to arbitration after weeks of negotiation, with the panel ultimately siding with the investors.
As part of the deal, Lore and Rodriguez had already secured 36% of the Timberwolves for more than $500 million in previous transactions. They now report raising an additional $950 million, which has been placed in an escrow account, signaling their readiness to finalize the purchase.
The next hurdle for Lore and Rodriguez is gaining approval from at least 23 of the NBA’s 30 team owners. Although this vote is typically a formality, the situation has become more complex due to Taylor’s vocal opposition to the sale.
In recent months, Lore and Rodriguez have actively met with NBA owners to gain support in the event of a vote. Taylor, who has owned the Timberwolves since 1994, has a long-standing relationship with NBA commissioner Adam Silver, and his position may influence the outcome of the vote.
Despite the setback, Lore and Rodriguez expressed their optimism about the future of the Timberwolves. In a statement, they said, “We are extremely pleased with today’s decision. We look forward to working with the NBA to complete the approval process and turn our attention to winning championships in Minnesota.”
Meanwhile, Glen Taylor’s reaction was less definitive. “Becky and I were disappointed by this 2-1 decision by the panel,” he stated, adding that he would review the decision before making any further comments.
The $1.5 billion price for the Timberwolves, agreed to in 2021, now appears below the market value. Recent sales in the NBA, such as the Phoenix Suns for $4 billion in 2023 and the Dallas Mavericks for $3.5 billion in 2024, have reset the market.
