The billionaire brothers Mat and Justin Ishbia, who acquired control of the Phoenix Suns last year, recently completed a nearly $400 million deal that increased their stake in the NBA team. In a series of transactions with at least four of the team’s minority owners over the last two months, an entity controlled by the Ishbia brothers exchanged stock in their family mortgage giant, UWM Holdings, for additional shares of the Suns. Mat Ishbia, the largest shareholder of both the Suns and UWM, negotiated the right to purchase more of the team at the original valuation from when he bought it in 2023. Based on the terms of the latest deal, Forbes estimates the Ishbia brothers now own 66% of the Suns and the WNBA’s Phoenix Mercury.
The Ishbia brothers’ holding company also increased the public float of UWM’s shares from 6% to 10% by selling nearly $100 million of stock on the open market in September. Prior to this, the Ishbias had not sold any stock since 2021, when they took the company public. The Ishbias also engaged in similar transactions with three other Suns minority owners, exchanging nearly $285 million of UWM stock for membership interests in the entity that owns the NBA team and the Mercury. The minority owners involved in these transactions have ties to Arizona but declined to comment, and it’s unclear if they sold some or all of their Suns stakes.
Last year, the Ishbia brothers took control of the Suns and the Mercury after former owner Robert Sarver put the teams up for sale following an NBA investigation into his conduct. Mat Ishbia, worth an estimated $10 billion, serves as the Suns’ governor and owned an estimated 43% stake in the team before the recent transactions. Justin Ishbia, worth an estimated $5.1 billion, serves as alternate governor and owned an estimated 13% stake prior to the end of August. The Ishbias now hold 90% of UWM’s stock, with Mat controlling 75% of the family’s shares and Justin 23%. Their father Jeff, who founded UWM’s predecessor in 1986, owns an estimated 2% and still sits on UWM’s board.
UWM has faced challenges in recent years, including a 35% drop in its stock since January 2021 and ongoing legal issues, including a class action lawsuit alleging improper broker pressure. The company’s shares, however, are up 33% in the last year as mortgage interest rates have fallen. The Ishbias’ decision to increase their stake in the Suns and Mercury is seen as a way to benefit both organizations and investors, as well as increase UWM’s public float. Mat Ishbia has no intention of selling any shares of the teams at this time and is focused on growing both the Suns and Mercury.
The transactions with the minority owners of the Suns have allowed the Ishbia brothers to strengthen their ownership position in the teams. Mat negotiated the right to purchase more of the team at the original valuation, and the recent deals have pushed their ownership stake to an estimated 66%. The Ishbias’ spokesperson highlighted that increasing ownership in the Suns and Mercury is a priority for Mat, while also benefiting UWM by increasing the availability of its shares on the public market. The Ishbia brothers’ significant investment in the Suns and Mercury reflects their commitment to the long-term success of the teams and the overall growth of their sports and business portfolios.
