Owning a sports team, even in the NBA, has recently become one of the most lucrative investments due to the marketing side of the game. The case of Mark Cuban, the owner of the Dallas Mavericks, since he acquired a significant share in 2000, isn’t different.
Following the recent news of Mark Cuban reportedly opting to sell a significant share of the Dallas Mavericks. The decision sparks the necessity of assessing the expected fortune for the business tycoon while also uncovering his sales decisions.
How much will Mark Cuban get from Mavericks sale?
Mark Cuban had reportedly sold his majority stake in the Dallas Mavericks to American-Israeli billionaire Miriam Adelson and the Adelson family, as per reports by multiple outlets. Mark Cuban had reportedly worked on a deal that could still afford him significant benefits, even after the sale. Per Sham Charania “Will pocket 2-3 billions dollars in the Dallas Mavericks sale, Will have basketball operations control, Plans to build a new arena in Dallas, and Plans to build a casino district in Dallas.”
In 2000, Cuban purchased the Mavericks for around $285 million, resulting in an impressive profit of 1,300% over the course of a decade. According to Forbes’ October 2023 list of the most valuable NBA teams, the Mavericks hold the 7th position with an impressive value of around $4.5 billion.
Furthermore, according to Forbes, Miriam is currently ranked as the 35th wealthiest individual globally in 2023. Miriam is the widow of Sheldon Adelson, the founder of Sands, and holds a substantial amount of shares in Las Vegas Sands. According to CNBC, Miriam and her family acquired a majority stake of 56% in Sands following Sheldon’s passing.
Why is Mark Cuban selling Mavs?
Mark Cuban, the famous business owner and billionaire, has reportedly made a decision to sell the majority of his Dallas Mavericks’ stake, and has sparked widespread curiosity as to why he made the decision to sell the franchise. Mark Cuban, in September, offered insights to Forbes for the 2022 magazine cover story on reasons for taking drastic changes in his professional life. Mark Cuban had disclosed that his busy schedule was depriving him of having time for his three teenage children.
While Jake, who was thirteen years old at the time, and Alyssa, who was sixteen years old, had other plans for their summer vacations, his eldest daughter Alexis Cuban began classes at Vanderbilt University in September 2022. These arrangements posed a challenge for Mark Cuban in terms of juggling his commitments to filming for Shark Tank and attending Mavericks games.
Furthermore, the financial benefits of selling a top team like the Mavericks could have motivated Cuban’s decision. As per Forbes, the value of NBA teams has increased significantly in recent years. According to the Forbes analysis, as of October 2023, an average NBA team was worth around $3.85 billion, which showed an increment of 35% from a year before and 75% higher than in 2019.
While valuations are seriously increasing, with no sign of slowing down, there is no certainty of how long they will last. While Mark Cuban hasn’t publicly commented on his Mavericks’ sale decision, the reasons might not be far from what is discussed here.
