The sale of the Wolves, in danger by Jennifer Lopez
The purchase of the Minnesota Timberwolves by Alex Rodriguez and Marc Lore would be stuck because of the liquidity problems of the former… and because of his breakup with singer Jennifer Lopez. The former MLB (baseball) star with the New York Yankees has an estate valued at about 500 million dollars, but most of it would be in tens of thousands of apartments and houses.
That is to say, he has a great fortune, but does not have money to deal with the agreements he entered into with his partner and with the still owner of the Wolves, Glen Taylorto acquire the franchise for 1,500 million. The first, an initial disbursement of 250 million at 50% to get 20% of the organization. Rodríguez did not reach that amount and Lore, an electronic commerce tycoon, had to put his share and that of the former player, caused by a disparity in the percentage of ownership (which should have been 50%): 13% for Lore and 7% for Rodriguez.
“Alex and Marc were supposed to be 50/50. Alex couldn’t find his half”, An NBA source assured The New York Post. The next payment, to acquire the next 20%, must be made at the end of the year and the elephant is still in the room: Rodríguez does not seem to have the capacity to contribute the entire investment, so he could be doomed to become number 2 in the businessman within the Timberwolves.
The influence of Jennifer Lopez
This economic problem leads to Jennifer Lopez. According to the American media, the actress and singer was a magnet for her partners and her ex-husband. “Marc (Lore) was completely hypnotized by JLo”, Said a source who knows both investors, who have already tried unsuccessfully to gain control of the MLB Mets.
Jennifer Lopez was always present with Rodríguez during his meetings at his luxurious home in Bel-Air and the Hamptons, and many of the former player’s associates thought they were doing business with the couple. “He was always doing them with her, walking in hers and leaving her bedroom in workout clothes,” the source continues. “A-Rod always made it seem like they were investing as a couple”.
The divorce financially caught Rodriguez off guard, who no longer counts on JLo to attract investors: she validated him. “Its ability to raise capital went from strong to significantly weak”, believes a source who knows A-Rod well, that if he does not have economic capacity, he could see himself as a minority within the organization without having control over it.
Or even for the operation to break down. A scenario that Taylor would not see badly: the still president of the Wolves believes that the value of the franchise has increased by 500 million to reach 2,000 since the transfer of the business was closed. A new sale would therefore generate much more profit.
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