Breaking News Bar
updated: 5/29/2014 8:59 PM

Shelly Sterling agrees to sell Clippers for $2B

hello
Success - Article sent! close
  • Shelly Sterling reached an agreement Thursday night to sell the Los Angeles Clippers to former Microsoft CEO Steve Ballmer for $2 billion, according to an individual with knowledge of the negotiations.

      Shelly Sterling reached an agreement Thursday night to sell the Los Angeles Clippers to former Microsoft CEO Steve Ballmer for $2 billion, according to an individual with knowledge of the negotiations.
    Associated Press

 
Associated Press

Shelly Sterling reached an agreement Thursday night to sell the Los Angeles Clippers to former Microsoft CEO Steve Ballmer for $2 billion, according to an individual with knowledge of the negotiations.

The individual, who wasn't authorized to speak publicly, told The Associated Press that Ballmer and the Sterling Family Trust now have a binding agreement. The deal now must be presented to the NBA.

Order Reprint Print Article
 
Interested in reusing this article?
Custom reprints are a powerful and strategic way to share your article with customers, employees and prospects.
The YGS Group provides digital and printed reprint services for Daily Herald. Complete the form to the right and a reprint consultant will contact you to discuss how you can reuse this article.
Need more information about reprints? Visit our Reprints Section for more details.

Contact information ( * required )

Success - request sent close

Shelly Sterling negotiated the sale after her husband, Donald Sterling, made racist remarks that were made public. Donald Sterling must also approve the final agreement as a 50 percent owner.

Ballmer beat out bids by Guggenheim Partners and a group including former NBA All-Star Grant Hill.

It's unclear if the deal will go through. The individual said that though Donald Sterling was not involved in the negotiations, "at the end of the day, he has to sign off on the final process. They're not going to sell his 50 percent without him agreeing to it."

Donald Sterling's attorney says that won't happen. "Sterling is not selling the team," said his attorney, Bobby Samini. "That's his position. He's not going to sell."

That's despite a May 22 letter obtained by The Associated Press and written by another one of Sterling's attorneys that says that "Donald T. Sterling authorizes Rochelle Sterling to negotiate with the National Basketball Association regarding all issues in connection with a sale of the Los Angeles Clippers team." It includes the line "read and approved" and Donald Sterling's signature.

Samini said Sterling has had a change of heart primarily because of "the conduct of the NBA." He said NBA Commissioner Adam Silver's decision to ban Sterling for life and fine him $2.5 million as well as try to oust him as an owner was him acting as "judge, jury and executioner."

"They're telling me he should stand back and let them take his team because his opinion on that particular day was not good, was not popular?" Samini said. "That his team should be stripped from him? It doesn't make sense. He's going to fight."

The person with knowledge of the deal said that any buyer would have to ensure the team remains in Los Angeles and be someone Shelly Sterling could work with if she decides to retain a small stake. An attorney representing Shelly Sterling declined to comment.

Franchise sale prices have soared since the current collective bargaining agreement was ratified in 2011. The Milwaukee Bucks were just sold to New York investment firm executives Marc Lasry and Wesley Edens for about $550 million, an NBA record.

Last year, Vivek Ranadive's group acquired a 65 percent controlling interest in the Sacramento Kings at a total franchise valuation of more than $534 million, topping the previous record of $450 million that Joe Lacob and Peter Guber paid for the Golden State Warriors in 2010.

The bid for the Clippers, purchased by Sterling in 1981 for a little more than $12 million, blew right past those.ng former NBA All-Star Grant Hill.

Share this page
Comments ()
Guidelines: Keep it civil and on topic; no profanity, vulgarity, slurs or personal attacks. People who harass others or joke about tragedies will be blocked. If a comment violates these standards or our terms of service, click the X in the upper right corner of the comment box. To find our more, read our FAQ.
    help here