Shortly after her siblings declared their intentions to divest the family’s remaining 17.8% equity in the Los Angeles Lakers to the incoming majority ownership group led by Bob Iger and Josh Kushner, current franchise governor Jeanie Buss announced through her legal counsel that she plans to fight any such transaction.
This highly visible dispute among the Buss heirs and their respective attorneys erupted a mere five days following last week’s agreement by Iger and Kushner to acquire the controlling interest in the Lakers for an unprecedented $12.5 billion.
Out of the six Buss children—comprising Jeanie, Jim, Johnny, Janie, Joey, and Jesse—every sibling except Jeanie is reportedly in favor of selling the family’s holdings to Iger and Kushner. Such a move would terminate Jeanie’s tenure as the franchise’s governor, since she and her siblings are required to hold a minimum 15% stake in the organization to maintain her leadership position.
Multiple media platforms, including ESPN, published a joint statement attributed to the “Buss family.”
“Our family has collectively chosen to divest the rest of the Buss Family Trust’s holdings to the Bob Iger consortium as a component of this active deal. Our affection for the Lakers and their fanbase remains deep, and we will always champion Los Angeles; nevertheless, we believe this is the appropriate moment to seize this opening to move forward and make a graceful departure while the opportunity exists,” the statement declared.
The initial agreement involved Iger and Kushner acquiring roughly 65% of the franchise from Walter; incorporating the Buss family’s equity would boost that total ownership share to approximately 83%.
According to NBA journalist Yaron Weitzman, the other five Buss siblings presented signed documents to Jeanie indicating their desire to sell the family holdings, thereby activating a “tag-along” provision. On the other hand, in a correspondence secured by CNBC, Jeanie’s attorney, Adam Streisand, asserts that she has given no consent to sell the franchise and that any voting decision to do so “would be and is void.”
The Buss family’s stewardship of the Lakers commenced in 1979, ushering in the franchise’s legendary Showtime era. Their era of majority control concluded last year when they transferred their primary interest to Mark Walter in a transaction valued at $10 billion, though they kept a residual 17.8% minority portion.
In the wake of Iger and Kushner’s unexpected deal to purchase the franchise, Jeanie Buss—who assumed the role of team president after her father Jerry Buss passed away in 2013—initially kept her designation as team governor despite lacking the majority stake. It was reported that Iger and Kushner intended to respect Walter’s commitment to retain Jeanie in her governor role until 2030.
It remains uncertain who would succeed Jeanie as governor should the transaction be finalized.
The desire of the other Buss family members to make a “graceful departure” might be driven by the persistent internal strife that has characterized their leadership since Jerry’s passing. In a highly publicized move, Jeanie dismissed Jim from his post as vice president of basketball operations back in 2017. Furthermore, this past November, the two youngest brothers, Joey and Jesse, were let go from their administrative roles during an organizational overhaul triggered by the sale to Walter. Considering this turbulent history, Jeanie’s disagreement with her siblings regarding the sale is hardly unexpected.
A completed sale would also cast doubt on the tenure of general manager Rob Pelinka, who joined the organization under Jeanie Buss’s leadership and whose future with the team appeared heavily contingent on her remaining at the helm.
No matter the family’s desire to sell, the comprehensive transaction with the Iger-Kushner consortium must still receive formal approval from the NBA Board of Governors. Additionally, Kushner will be required to sell his current minority share in the Miami Heat prior to assuming his new role with the Lakers.
