Michael Jordan Finalizes Sale of Majority Stake in Charlotte Hornets
Group Led by Rick Schnall and Gabe Plotkin Takes Over Ownership
August 3, 2023
Michael Jordan has officially sold a majority stake in the Charlotte Hornets to a group led by Rick Schnall and Gabe Plotkin, marking the end of his 13-year tenure as the team’s majority owner. The sale, valued at approximately $3 billion, was announced on Thursday.
In a statement issued on Thursday, Jordan expressed his excitement about passing the reins to Schnall and Plotkin, whom he described as successful, innovative, and strategic leaders. He expressed confidence in the future of the Hornets organization and pledged to continue supporting the team and the community in his new role.
Although Jordan will no longer hold a majority stake, he will retain a minority ownership position in the team. In 2010, he purchased a majority stake in the franchise for $275 million.
The NBA’s board of governors approved the new ownership group with an overwhelming 29-1 vote last month, according to sources close to the matter.
Schnall, previously a minority owner with the Atlanta Hawks, and Plotkin, a minority owner with the Hornets, will serve as co-chairmen of HSE (Hornets Sports & Entertainment) and will alternate the team’s governorship every five years, starting with Schnall.
The new owners will be formally introduced at a news conference scheduled for 1 p.m. ET.
In a joint statement, Plotkin and Schnall expressed their gratitude to Jordan for the opportunity and his support throughout the sale process. They acknowledged his contributions to the stability and success of the Hornets franchise, as well as his investments in the Charlotte community. The new owners emphasized their commitment to taking the Hornets to the next level both on and off the court.
“We will strive to build a highly competitive basketball team, implement innovative business practices, give back to our community, and engage with our fans,” the statement read. “Our goal is to deliver a winning experience to our fans throughout the Carolinas. With our successful business backgrounds and previous experience as NBA minority owners, we are confident in shaping the future of the franchise as a best-in-class organization.”
Schnall, who has been the alternate governor on the NBA’s board of governors since 2015, played a significant role in the Hawks’ team-building process and the renovations of State Farm Arena. He brings 27 years of experience as co-president of Clayton, Dubilier & Rice LLC to the Hornets ownership group.
Plotkin, who acquired a minority stake in the Hornets in 2019, will serve as co-chairman and alternate governor. He is the founder and chief investment officer of Tallwoods Capital LLC and has been an alternate governor on the league’s board of governors since 2019.
In addition to Schnall and Plotkin, the Hornets’ new ownership group includes Chris Shumway, Dan Sundheim, Ian Loring, Andrew Schwartzberg, Dyal HomeCourt Partners, recording artist J. Cole, and country music singer-songwriter Eric Church, both of whom hail from North Carolina. Several local Charlotte investors, including Amy Levine Dawson and Damian Mills, are also part of the ownership group.
(This article contains information from The Associated Press.)