Mark Walter Sells Lakers Majority Stake as Federal Probe Targets Tens of Billions in Assets
Updated
Updated · The New York Times · Aug 24
Mark Walter Sells Lakers Majority Stake as Federal Probe Targets Tens of Billions in Assets
3 articles · Updated · The New York Times · Aug 24
Summary
Mark Walter has been scrambling to sell assets, including a surprise deal this month to unload a majority stake in the Lakers after only a year, to shore up his insurance empire.
A federal investigation is examining whether some of his companies improperly characterized tens of billions of dollars in assets, putting one of private equity’s biggest insurance strategies under pressure.
Walter built Guggenheim Investments into a major insurance buyer after the 2008 crisis, then oversaw sales of many of those insurers to his personal investment firm.
Billions of dollars in insurance premiums were funneled into riskier bets including sports teams, real estate debt and loans to companies such as Carvana and Wendy’s, highlighting broader scrutiny of how insurers’ money is being used.