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Adelson to buy stake in Mavericks from Cuban

Tan KW
Publish date: Thu, 30 Nov 2023, 11:50 AM
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DALLAS: Miriam Adelson, the widow of casino magnate Sheldon Adelson, is selling US$2bil of stock in Las Vegas Sands Corp so the family can acquire a majority stake in the Dallas Mavericks NBA basketball franchise from Mark Cuban.

Cuban, a 65-year-old tech billionaire, will continue to own a part of the team, according to a person familiar with the family’s plans.

A deal is expected to be announced shortly, said the person, who asked not to be identified because the sale hasn’t been announced publicly.

The purchase puts the franchise’s total valuation at US$3.5bil, according to The Athletic website.

The Adelson family has a binding purchase agreement for a team, Sands said in a regulatory filing.

They plan to use the proceeds from the stock sale as well as the cash on hand to purchase the franchise, “subject to customary league approvals”.

Cuban, who is worth an estimated US$6.4bil, acquired the Mavericks from H. Ross Perot Jr in 2000 for US$285mil.

Under his ownership, the team has won three division titles, two conference championships and one NBA title in 2011.

Cuban is perhaps best known for his 15 seasons on the ABC talent show Shark Tank. He plans to leave after the 16th season, according to a podcast interview.

A spokesperson for Sands and the Adelsons declined to comment, as did the NBA. Cuban and representatives for the Mavericks didn’t respond to requests for comment.

The sale by Cuban was reported on Tuesday by basketball reporter Marc Stein on Substack.

Adelson, an Israeli-born physician, has led the family since her husband died in January 2021. Her son-in-law, Patrick Dumont, is president of Sands, which owns casinos in Singapore and Macau.

Despite selling the flagship Venetian resort in Las Vegas to Apollo Global Management Inc last year, the family retains close ties to America’s gambling capital.

They own the Las Vegas Review-Journal newspaper and the company is still based there.

According to the latest proxy statement, Adelson controls about 433 million shares of Sands, or more than 56% of the total outstanding.

The stock being sold represents about 11% of those holdings.

 - Bloomberg

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