Clippers co-Owner Rochelle Sterling has "received inquiries from at least six serious bidders" for the team after she "reached an agreement" with Donald Sterling to negotiate a sale of the franchise after he was banned for life from the NBA, according to sources cited by Ramona Shelburne of ESPN L.A. Rochelle Sterling's attorney, Pierce O'Donnell, is "handling the sale with Bob Baradaran, a managing partner at his law firm Greenberg Glusker, and Darren Schield and Doug Watson of Beverly Hills Properties, a real estate company owned by the Sterling family." Rochelle met with former Microsoft CEO Steve Ballmer on Sunday to "discuss a possible sale of the team." A source said that she "would not consider selling the team to any group that intended to relocate the franchise." But "still at issue" is whether the NBA will allow her to "control the sale of the team" (ESPNLA.com, 5/26). ESPN.com's Marc Stein reported former NBAer Grant Hill has "partnered with billionaire investors and longtime Southern California residents Tony Ressler and Bruce Karsh to form an ownership group." Sources said that the group is "already regarded by league officials as a viable contender." Ressler is the co-Founder of Ares Management and a minority owner of the Brewers, while Karsh is President & co-Founder of Oaktree Capital Management and "currently serves" as a minority owner of the Warriors (ESPN.com 5/24). In N.Y., Claire Atkinson reports Relativity Media CEO & Founder Ryan Kavanaugh is "joining the growing list of potential bidders" and is "teaming with Skechers." Skechers CEO Robert Greenberg said that his brand and Kavanaugh are "open to other investors coming on board with their bid" (N.Y. POST, 5/27). BLOOMBERG NEWS' Soshnick & Alesci cite sources as saying that Bank of America "has been retained" to sell the Clippers (BLOOMBERG.com, 5/27).
BROADER IMPLICATIONS: In Seattle, Geoff Baker reported this is a "big deal for Seattle, if only in what it means for Chris Hansen and his efforts to build a Sodo arena and revive the NBA here." Those efforts up until now "have been with Ballmer and his billions at Hansen’s side." If Ballmer buys the Clippers, it "effectively ends any NBA role he’d play here and deals a serious blow to Hansen’s plan." A source said, "It would knock the lights out of it" (SEATTLE TIMES, 5/26).
ASKING PRICE: Mavericks Owner Mark Cuban said the Clippers are worth "far north" of $1B, and added he "wouldn't be shocked" if the bidding starts at $1.5B (LATIMES.com, 5/25). In N.Y., Richard Sandomir wrote six weeks ago, "no one would have suggested" that the Clippers could sell for as much as $1B. Bevilacqua Helfant Ventures co-Founder & CEO Chris Bevilacqua said that one factor in the "value of the Clippers was the strength of the NBA." He added, "Any buyer is buying into the global trajectory of the NBA. It's a global brand that is accelerating, and all the owners own one-30th of it" (N.Y. TIMES, 5/25). SPORTS ON EARTH's Shaun Powell cites a source as saying that the NBA will "not make it mandatory that the next ownership group of the Clippers have African American representation, but it would help." Powell: "Why is the league favoring a black presence? Two reasons: It would go over well with players in light of Sterling's comments, and the NBA is pushing diversification within the old boy's club whenever possible" (SPORTSONEARTH.com, 5/27). In L.A., Jon Healey gave three business reasons the Sterlings "should sell the Clippers now." Donald Sterling is "holding an asset at its peak value, with his own involvement among the factors threatening to lower it" (L.A. TIMES, 5/24). Meanwhile, ESPN.com's Larry Coon wrote the "players' list of options -- of possible responses as events drag on -- is frustratingly short" (ESPN.com, 5/23).
LESSON LEARNED? In Boston, Gary Washburn wrote NBA Commissioner Adam Silver is "trying to turn the Sterling issue from one of the league’s more embarrassing moments" since the brawl at the Palace of Auburn Hills in '04 into a "teaching moment that can galvanize players and owners." One of his "primary goals when he began as commissioner in February was improving the relationship between players and owners after tense labor negotiations" in '11 (BOSTON GLOBE, 5/25). ESPN.com's Darren Rovell reported the NBA has retained Institute for Diversity & Ethics in Sports Founder & Dir Dr. Richard Lapchick "as an independent expert" to analyze the "effect that Donald Sterling's words have had on the league." Lapchick's report was "included in the charges presented to Sterling" (ESPN.com, 5/26).
