Report: Warriors Minority Investors Seeking $200M for 5 Percent Stake in TeamFebruary 2, 2021
A group of minority investors in the Golden State Warriors are looking to sell their stake in the franchise for $200 million, according to the New York Post's Josh Kosman.
The investors in question combine to control 5 percent of the Warriors.
Teams across sports are feeling the financial squeeze during the COVID-19 pandemic, with gate revenue falling to zero or at best a fraction of its usual number. The problem is particularly acute for the Warriors since they were banking so much on the money they could generate through Chase Center.
The venue was constructed to cater to more affluent fans, and team president Rick Welts said in March 2019 the Warriors collected $2 billion in ticket/suite sales and sponsorships from Chase Center.
Now, the arena is sitting empty after San Francisco city officials turned down a plan to allow for up to 50 percent of Chase Center's capacity for games. All the while, Golden State is maintaining the NBA's highest payroll ($172.8 million).
Kosman reported the team's overall revenue is down about 50 percent and spoke to a source who said, "The owners don't want to put in more money."
Last February, Forbes estimated the Warriors to be the NBA's third-most valuable franchise at $4.3 billion. Kosman noted their valuation would climb to $5 billion if a buyer matches the minority investors' $200 million price tag.