Billionaire entrepreneur Mark Cuban earlier this week offloaded his majority stake in the Dallas Mavericks to families associated with the late Las Vegas casino mogul Sheldon Adelson.
What Happened: Cuban’s lack of knowledge in real estate prompted the sale. He sees real estate as a significant factor for NBA teams’ success in the future, especially in a wavering media industry. Cuban has considered developing a casino and destination resort linked to the Mavs, calling it “another base of revenue,” Fortune reported on Wednesday.
The NBA approved the $3.5 billion deal on Tuesday, letting Cuban keep a smaller ownership share and control of the basketball team.
Cuban, co-founder of Cost Plus Drugs and host of Shark Tank, admitted he wasn’t suited to build such infrastructures, saying, “If someone’s going to come in as a partner and invest potentially billions of dollars, they’re going to want equity.”
Despite the sale, Cuban is positive about the arrangement, believing ...