This Day On The Street
Continue to site
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here

Shelly Sterling Relents, Sells Clippers to Ballmer for $2 Billion

NEW YORK (The Deal) -- Just days before National Basketball Association team owners were set to vote to force Los Angeles Clippers owner Donald Sterling to sell his team, Sterling's wife, Shelly, said late Thursday that she had sold the franchise to former Microsoft (MSFT - Get Report) CEO Steve Ballmer for a record $2 billion.

Ballmer, who is known for his boisterous speeches at Microsoft developer conferences, reportedly beat out two serious bidders, one led by media mogul David Geffen which offered $1.6 billion and also included Oprah Winfrey and Oracle (ORCL - Get Report) CEO Larry Ellison. Additionally, Guggenheim Partners--which led a group that bought Major League Baseball's Los Angeles Dodgers last year--and a group including former NBA All-Star Grant Hill also made overtures, according to reports.

"I am delighted that we are selling the team to Steve, who will be a terrific owner," said Shelly Sterling in a statement released by San Francisco public relations firm G.F. Bunting PR. "We have worked for 33 years to build the Clippers into a premiere NBA franchise. I am confident that Steve will take the team to new levels of success."

WATCH: More videos from Jim Cramer on TheStreet TV

The $2 billion price tag is the highest price ever paid for any NBA franchise, almost quadrupling the previous record set by the Milwaukee Bucks, which sold for $550 million to hedge fund investors Wesley Edens and Marc Lasry on April 16.

The sale is the second-largest sports franchise deal, behind only the Los Angeles Dodgers Major League Baseball team, which sold for $2.1 billion to a group led by Guggenheim that included Hall of Fame basketball player Earvin "Magic" Johnson.

"I thank Shelly Sterling for her willingness to entrust the Clippers franchise to me, and I am grateful to NBA commissioner Adam Silver and his colleagues for working collaboratively with me throughout this process," Ballmer said in statement.

While the sale is still contingent on gaining approval from three-fourths of NBA owners, Ballmer is seen likely to be quickly approved because he was a part of a group that made it to the final round of bidding for the Sacramento Kings in mid-2013.

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Only $9.95
14-Days Free
Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Real Money

More than 30 investing pros with skin in the game give you actionable insight and investment ideas.

Product Features:
  • Access to Jim Cramer's daily blog
  • Intraday commentary and news
  • Real-time trading forums
Only $49.95
14-Days Free
14-Days Free
SKS $0.00 0.00%
MSFT $49.88 -0.04%
ORCL $39.87 -1.10%
AAPL $93.75 -1.10%
FB $117.53 0.69%


Chart of I:DJI
DOW 17,773.64 -57.12 -0.32%
S&P 500 2,065.29 -10.52 -0.51%
NASDAQ 4,775.3580 -29.9330 -0.62%

Free Reports

Top Rated Stocks Top Rated Funds Top Rated ETFs