Mat Ishbia faces lawsuit from Phoenix Suns minority owners over alleged lack of transparency

NBA: New Orleans Pelicans at Phoenix Suns - Source: Imagn
Two Phoenix Suns minority owner is suing Mat Ishbia (Image Source: IMAGN)

Two minority shareholders are suing Mat Ishbia, the majority owner of the Phoenix Suns, over his management of the organization. According to Front Office Sports, Kisco WC Sports II and Kent Circle Investments have been dissatisfied with how Ishbia has managed the franchise since he took over in 2023.

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The lawsuit alleges "mismanagement, conflicts of interest, and a lack of required transparency from Ishbia." Andrew Kohlberg, a former tennis player, leads Kisco. Scott Seldin, a realtor, heads Kent Circle.

Ben Horney from Front Office Sports reported on Wednesday about the internal conflict among team owners.

"According to the suit, the drama began last September, when Kisco—“dissatisfied” with Ishbia’s management of the team—started negotiations to sell its stake to Ishbia. The suit cites a lack of details about how a Mercury practice facility was funded as one example of his mismanagement," Horney wrote.
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The Suns have not commented on the matter. However, the team's attorney, David Marroso of O’Melveny & Myers LP, presented a different perspective on the case in a letter sent on Tuesday.

According to Horney, Marroso said the two minority owners have "demanded that Ishbia buy their interests for $825 million." The letter states that the two minority owners have resorted to "baseless litigation and sensationalized press coverage."

In 2023, Ishbia and the Mercury purchased a 57% stake in the Phoenix Suns for $4 billion. Since taking over, there have been significant changes to the team, including his influence on the Kevin Durant trade, which was his first major move.

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After that, he tried to build a Big 3 with Bradley Beal. However, it hasn't worked out, and the Suns have taken a step back this summer. The two players who were supposed to help Devin Booker are no longer on the team, and the organization has lost draft capital because of the trades made.


Phoenix Suns' owner is being patient with the new team

For the 2025-26 NBA season, the Phoenix Suns will have a revamped team. Besides Durant and Beal, several players have left the organization. This is why the franchise has been active in adding players to complement Booker.

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With a new group of players, questions arise about the team's culture. Ishbia stated he will be patient with the new roster because it will take time to build the new culture.

"When you're building a culture and you're building a strategy and a vision, anything worthwhile takes a while," the Phoenix Suns owner said. "...Do I expect it to take a couple years to really get to the point where you're like, 'Wow, I really see the vision?' Yes ... I do expect to be patient with it, to build it the right way, but I am also optimistic that we'll be a lot better than people think."
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It will be some time before the Suns can be considered serious contenders again.

Phoenix Suns Fans? Check out the latest Suns depth chart, schedule, and roster updates all in one place.

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Edited by Vaishnavi Iyer
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