Joe Tsai has agreed to sell a minority stake of BSE Global, the parent company of the Nets, New York Liberty and Barclays Center, to investors Julia Koch and her children.
Bloomberg News reported back in February that a deal between Tsai, who bought 49% of the Nets from Mikhail Prokhorov in 2018 and the remaining 51% in 2019, and the Koch family was in the works.
The transaction will not be closed until final approval of the NBA Board of Governors, according to a release, and terms of the transaction were not disclosed.
“We are pleased to welcome Julia Koch and her family to BSE Global,” said Tsai in a news release. “Mrs. Koch’s commitment to New York institutions is an invaluable addition to our franchise. The Nets have a special bond with the Brooklyn and broader New York communities, and we are looking forward to working with Mrs. Koch and her family as we increase investment in our franchise.”
According to the news release, Tsai will continue to serve as Chairman of BSE Global and Governor of the Nets while his wife, Clara Wu Tsai, will remain Vice-Chair of BSE Global and Governor of New York Liberty.
The business and basketball operations of BSE Global will continue to be spearheaded by CEO Sam Zussman, Nets general manager Sean Marks and New York Liberty CEO Keia Clarke and GM Jonathan Kolb.
Koch and her children, David Jr. and Mary Julia, will acquire 15% of BSE Global, but it is unclear what their day-to-day roles within the operation will be.
The Koch family is best known for its political influence but has also invested heavily in the basketball program for Wichita State University. Charles Koch, 88, has an estimated net worth of $55.3 billion, the 25th highest in the world.
