The Phoenix Suns apparently have a new majority shareholder on the way, ending the disastrous reign of Robert Sarver after the league all but pushed him out following an investigation into toxic workplace culture.
According to ESPN’s Adrian Wojnarowski, Mat Ishbia, a 42-year-old billionaire from Michigan, has reached an agreement to purchase Sarver’s stake in both the Suns and WNBA’s Phoenix Mercury and assume the role of team chairman.
Wojnarowski noted the deal will cost Ishbia around $4 billion.
So who is this guy? And why would he be interested in the Suns?
Here are a few quick, basic facts we know about him that you can use to look smart later on.
ESPN Sources: Ishbia's purchase price is in the neighborhood of $4 billion. https://t.co/HzH2XSspHp
— Adrian Wojnarowski (@wojespn) December 20, 2022
He's the chairman and CEO of mortgage lender United Wholesale Mortgage
Founded by his father, Jeff Ishbia, in 1986, Mat took over as chairman in 2013 and took the company public in 2021.
Shortly after Woj reported the sale of the Suns, UWM’s stock was trading at $4.08 and up just one cent on the day. Yet the company, which employs 7,000, is worth about $6.51 billion. According to Forbes, Ishbia owns a 71% stake in UWM.
The magazine estimates Ishbia is worth $5.1 billion—down from $9.7 billion in 2021. His brother, Justin, owns 22% of UWM, which makes him a billionaire as well.
Mat was a walk-on at Michigan State who played in three Final Fours and gives a lot of money to the athletics department
College basketball fans from the late 90s and early aughts should be a bit more familiar with Ishbia’s history.
He was part of Tom Izzo’s dynasty in East Lansing when the Spartans went to the Final Four in 1999, 2000 and 2001—winning a national title in 2000 when MSU defeated the Florida Gators.
And the dude could hoop a bit.
Wojnarowski noted this isn’t the first time Ishbia has bid on a pro sports franchise—both in the NBA and NFL.
Ishbia — a walk-on basketball player for Tom Izzo at Michigan State — has been pursuing several NBA and NFL teams in recent years, and now lands on a deal to purchase the Suns.
— Adrian Wojnarowski (@wojespn) December 20, 2022
MSU can also thank him for helping the Spartans hire Mel Tuckers the football team’s head coach.
According to Forbes, Ishbia pledged $32 million towards the Spartans in 2021. A few months earlier, he committed $14 million towards the 10-year, $95 million contract given to Tucker following Mark Dantonio’s retirement.
That hasn’t worked out too well, yet. Tucker is 18-14 in three seasons (12-13 Big Ten) and has just one bowl win on his resume at MSU—the Peach Bowl in 2021.
He's already got a rivalry going with Cleveland Cavaliers' chairman Dan Gilbert
The Cavs’ boss might not be too keen on letting Ishbia into the NBA.
While both are moguls in the mortgage lending business, alumni of Michigan State and proud Michiganders, they’ve been butting heads recently.
As The Detroit News reported in 2021, Ishbia’s UWM said it won’t do business with brokers who work with Gilbert’s Rocket Mortgage company:
United Wholesale Mortgage Holdings Corp. on Thursday escalated its mortgage war with Rocket Companies Inc., saying it will not do business with brokers who continue to work with the Detroit-based lender — a move Rocket calls “desperate.”
…CEO Mat Ishbia said during a Facebook Live. It comes as Rocket Mortage, America’s No. 1 mortgage lender and the dominant player in the direct-to-consumer business, is making inroads in the wholesale channel, which UWM dominates.
Ishbia accused Quicken Loans LLC’s Rocket Mortgage of incentivizing and working directly with real estate agents to cut brokers out of the process. He also claimed Wisconsin-based Fairway Independent Mortgage Corp. solicits loan officers away from brokers.
Fun fact: The Cavs and Suns still play each other two times this season with the first game in Cleveland on Jan. 4 and the finale in Phoenix on Jan. 8.
