Memphis Grizzlies: 5 takeaways from 2017-18 NBA season
By Max Carlin
5. Turmoil extends beyond the court
If you’re into the nitty gritty happenings of the business of basketball, the 2017-18 Grizzlies were a paradise of intrigue.
In late November, The Athletic’s Jon Krawczynski reported that two minority owners in Memphis, Steve Kaplan and Daniel Straus, had exercised an esoteric buy-sell clause in the team’s ownership agreement.
Basically, the clause gave the two minority owners the right to set a valuation for the team at which majority owner Robert Pera could either buy them out or get bought out.
Naturally, this invited quite the game of chicken: set the price too high, and you’re stuck paying an ungodly sum for the least valuable franchise in basketball, but too low, and Pera’s decision to buy you out is a no-brainer.
Finally, the situation has been resolved, with Pera agreeing to buy Straus out in a deal that values the Grizzlies at $1.3 billion-$1.4 billion.
If you’re not into the nitty gritty happenings of the business of basketball, fear not, because there are practical implications, as well. Namely, Pera has confirmed that he intends to keep the Grizzlies in Memphis.