Bob Iger and Josh Kushner shelled out a mind-boggling $12.5 billion in August to buy the Los Angeles Lakers, and they’re already projecting that massive valuation to nearly triple over the next decade. Seriously, that’s the number they’re anticipating, according to Jessica Toonkel and Mark Maurer of The Wall Street Journal. It’s one of those aggressive financial projections being floated in an investor presentation by Thrive Capital.
The Money Machine Goes Global
These new owners aren’t just looking to own a basketball team; they’re planning to blow this franchise up globally. Toonkel and Maurer report that the buyer group has laid out plans for international growth and new opportunities in local media rights. Their goal? To boost the Lakers’ valuation to at least $30 billion within ten years, assuming TV and streaming rights double. But get this: if they make even more favorable assumptions for that same period, they’re talking about a long-term valuation of $62 billion. These guys clearly think they’re propelling an already prosperous franchise into the stratosphere.
Billions in Revenue, Trillions in Questions
Thrive Capital projects the Lakers will pull in $681 million in revenue this year, primarily from ticketing and media rights. By 2037, they expect that number to hit $1.6 billion. And profits? Those are set to explode, too. Adjusted earnings before interest, taxes, depreciation, and amortization are expected to more than triple, jumping from an estimated $129 million to over $589 million over the same timeframe. It’s a crazy amount of money being thrown around, and it’s all about pushing that monetary value to new heights.
But here’s the real talk: nobody cares about billionaires bolstering their pocketbooks. If Iger and Kushner are going to rake in all this cash and explode the franchise’s value, they better pour a significant chunk, if not all of it, back into the team or the fan experience. That means investing in the on-court product, enhancing TV production, making the in-arena experience incredible, paying staffers proper wages, and ensuring finances aren’t an impediment to building a championship-caliber team. What does all that projected money mean for the Lakers on the court? That’s what every fan is waiting to see.
This article was created with AI assistance and published under Seattle On Tap’s editorial standards. See our Editorial Policy.
Originally reported by Silver Screen and Roll.
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