Report says Magic Johnson joins ownership group bidding on Broncos
Could it be “Showtime” for the Denver Broncos?
On Thursday morning Sportico reported former Lakers star Magic Johnson is joining an ownership group that is bidding on acquiring the Broncos.
EXCLUSIVE: Earvin @MagicJohnson is entering the bidding for the Denver Broncos
He has joined the bid group being led by Philadelphia 76ers co-owner Josh Harris pic.twitter.com/SPCVFyrKjY
— Sportico (@Sportico) May 5, 2022
Johnson is widely regarded as the greatest point guard in NBA history and has stayed in the spotlight after his playing days. He was part of an ownership group that bought the Los Angeles Dodgers in 2012 for $2 billion and the team has been the leader in baseball ever since, including winning a World Series. Johnson ran the Los Angeles Lakers from 2017-2019, not a long period of time, but he did bring LeBron James to town.
Sportico reported in April the candidates to buy the Broncos has been narrowed to a list of five individual and groups. Today’s report says Johnson would join Josh Harris. Harris owns the Philadelphia 76ers and New Jersey Devils and his net-worth has been pegged at about $7.5 billion.
It’s unclear how much capital Johnson would contribute to Harris’ bid, according to Sportico. On the Dodgers sale a decade ago, Johnson contributed “only” $50M, but was the face of the deal publicly. Johnson has been a savvy business man since retiring, including real estate deals, franchising movie theaters, Starbucks stores, fast food and gyms. Johnson is a “Fanatics” board member along with being an investor in esports, the Los Angeles Sparks and MLS team LAFC.
The Broncos sale is expected to shatter the record for the most paid for a U.S. sports team, with the Brooklyn Nets previously going for $3.3 billion. It’s largely expected the Broncos will sell for more than $4 billion, with valuations ranging anywhere from $4.2 to $4.8 billion. The trust which runs the team, led by CEO and President Joe Ellis, has said it has a “fiduciary obligation” to the benefactors to sell the Broncos to the highest bidder.
According to Sportico, “all five Broncos groups are expected to have minority investors, a stated priority of NFL commissioner Roger Goodell. Goodell has spoken openly about the league’s belief that it can diversify it ranks while maximizing the value of the club. There are very few non-white NFL owners, even among team limited partners.”
Representatives for the team and Allen & Co., which is handling the sale for the trust of late Broncos owner Pat Bowlen, declined to comment to Sportico back in April.