Why did Glen Taylor sell Timberwolves for only $1.5 billion? Franchise sale examined

The Western Conference side, Minnesota Timberwolves has been sold by former owner Glen Taylor for $1.5 billion.

Why did Glen Taylor sell Timberwolves for only $1.5 billion? Franchise sale examined

Marc Lore, Alex Rodriguez and Glen Taylor

Ownership of the WNBA’s Minnesota Lynx and the NBA’s Minnesota Timberwolves has been resolved following a disagreement that lasted more than a year. According to ESPN, Glen Taylor has consented to hand over full ownership of the franchises to the company headed by former Major League Baseball player Alex Rodriguez and Marc Lore.

This puts an end to a story that started back in 2021 when Lore and Rodriguez agreed to pay $1.5 billion to acquire the team. Back in 2024, Forbes valued the Timberwolves at $3.1 billion, deemed a good valuation among the 30 NBA teams. This may be one of the reasons Taylor was hesitant to sell the franchise for such a low price of $1.5 billion.

The arrangement was a little out of the ordinary. The organization permitted Lore and Rodriguez to purchase portions of the team in installments rather than paying for the entire team at once, which would have ultimately resulted in their taking control of the teams.

Why did Glen Taylor sell for a low price of $1.5 billion?

In 1994, Glen Taylor, now 83, acquired the Timberwolves’ primary stake. He purchased the franchise for $94 million. Now, in 2025 he is selling the franchise for $1.5 billion despite the Timberwolves being valued at $3.1 billion by Forbes. However, there are many reasons why Taylor must’ve chosen to sell the organization for such a low price.

The deal between the two parties initially happened in 2021, when the Timberwolves’ valuation was pretty low due to COVID-19. Due to the pandemic, the sports industry took a huge hit, with a temporary lockdown taking place. This led to various losses and a slowdown in the pace of the franchise’s valuation jump. Soon after, Taylor decided to sell the franchise and struck a deal with Lore and Rodriguez.

However, the NBA announced an 11-year, $76 billion agreement with Disney, NBC, and Amazon in 2024. This led Taylor to halt the negotiations in a bid to increase the sale price, but he failed. Unluckily for Taylor, no new TV deal was signed back when the parties agreed to sell the Timberwolves. Due to the recent deals done by the NBA, the valuations have taken a considerable rise, but Taylor has already decided on a price in 2021.

Aside from this, according to ESPN’s Adrian Wojnarowski, last season, Lore and Rodriguez wanted to get the Wolves out from over the luxury tax, which could have been practically impossible without drastically altering the team given its composition at the time. It was something Taylor was not willing to do. Hence, the sale comes at a discounted price for the 83-year-old.

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It was first reported in 2021 that Lore and Rodriguez were going to buy the franchise. The businessmen paid $1.5 billion to acquire the WNBA’s Minnesota Lynx and Timberwolves. When Taylor announced in 2024 that he was stepping out of the arrangement, that process became complicated. According to Taylor, Lore, and Rodriguez missed a deadline specified in the sale agreement.

That was not the case, according to Lore and Rodriguez, who at that time already held 40% of the franchise, and they accused Taylor of “seller’s remorse.” In May 2024, a mediation meeting took place, but the matter remained unresolved. According to the Associated Press, a three-person arbitration tribunal then decided in February 2025 that Taylor had to proceed with the transaction and sell the Timberwolves to Lore and Rodriguez.

According to reports, Taylor was thinking about contesting the ruling. However, there was no appeal. In the weeks after the arbitration ruling, Taylor met with Lore and Rodriguez’s team and decided to complete the transaction, per Shams Charania.

Now that Taylor’s appeal is no longer a possibility, the NBA may proceed with the transfer procedure. The NBA Board of Governors still needs to ratify the transaction. For the transaction to become official, Lore and Rodriguez must receive the support of a minimum of 23 of the 30 teams.