The National Basketball Association's Milwaukee Bucks will be sold to a group that includes Avenue Capital Management's Marc Lasry and Fortress Investment Group co-founder Wesley Edens for $550 million, three people with direct knowledge of the transaction said.
The people requested anonymity because the agreement hasn't been made public. The Bucks in a news release said the team was planning a “major announcement” this afternoon.
Mr. Lasry, the firm's chairman, CEO and co-founder, didn't immediately return an e-mail seeking comment on the Bucks, who are currently owned by former U.S. Sen. Herb Kohl.
Mr. Lasry's group agreed to keep the team in Milwaukee as a condition of the sale. Forbes valued the team at $405 million, lowest in the 30-team league. Last year, the team had an operating profit of $11 million on $109 million of revenue, the magazine said.
“He wants to get into basketball, and this is the team that's available,” said Marc Ganis, president of Chicago-based Sportscorp Ltd., which advises pro sports teams and leagues on financial matters. “This is the lowest value NBA club. That's it. Nothing lower.”