Two Suns Minority Owners Sue Team, Seek Transparency from Mat Ishbia

Two minority owners of the Phoenix Suns, Kisco WC Sports II and Kent Circle Investments, have filed a lawsuit against the team's holding company and majority owner Mat Ishbia, alleging mismanagement, conflicts of interest, and lack of transparency regarding the team's operations and financial matters. The suit, filed in Delaware's Court of Chancery, seeks access to internal documents to investigate whether Ishbia breached contractual agreements, particularly concerning a capital call and funding for a new practice facility. While fourteen other minority owners sold their stakes to Ishbia when he acquired a controlling interest in 2023, Kisco and Kent Circle chose to remain involved but now express dissatisfaction with Ishbia's management and limited information access. The Suns' organization describes the lawsuit as a pressure tactic intended to force Ishbia to buy out the dissenting minority owners at a premium. Attorneys for Kisco and Kent Circle emphasize the critical nature of transparency for the franchise's success and assert that minority owners are entitled to such information under their agreements. The dispute highlights tensions between majority and minority stakeholders in the $4 billion-valued franchise and raises broader questions about governance and investor rights within professional sports teams.