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Palestinian-American Buys Pistons
Tom Gores, a billionaire Palestinian-American who emigrated to the US from Nazareth as a young boy, is the newest owner of the Detroit Pistons, a 24- ranked NBA team that has won an abysmal 29 of 80 games in the 2010-11 regular season schedule.
Pistons fans have been making excuses for the lackluster performance of their team during much of the season, largely because of the uncertainty associated with the protracted sales negotiations, which began last July. But few would argue that if anyone is to be blamed for the team’s steady decline (in the 2009-2010 season, they won only 27 of 82 games), it is coach John Kuester, who during his three-year tenure has failed to instill in his players the discipline and toughness that make them winners.
Tom Gores’ deal for the Pistons, which is still awaiting NBA approval, also includes the Palace of Auburn Hills, a sports and entertainment complex that houses the multi-use stadium where the Pistons play and DTE Energy Music Theatre, a 15,000-seat entertainment venue. When ownership of the Pistons passes to Gores from longtime owner Karen Davidson, he will become the fourth owner of the struggling team.
Gores, who resides with his wife and three children in Beverly Hills, California, is a Michigan State University graduate who grew up in Flint, a Michigan city that – like neighboring Dearborn – is home to a large concentration of Arab-Americans.
His company, Platinum Equity, was founded in Los Angeles 16 years ago, and now has over $30 billion in aggregate revenue across a diversified roster of companies. The firm’s portfolio — concentrated in industry, manufacturing, information technology, logistics, telecommunications, and media and communications — includes holdings as diverse as US Robotics and the San Diego Evening-Tribune newspaper. Gores, with a net worth of $2.4 billion, is listed by Forbes magazine as the 153 richest person in America.
“I’m very proud to have this opportunity to be part of such a tremendous organization,” Gores told reporters. “I know it’s been a long process, and I appreciate the patience and support of the Detroit community. I have been impressed with the Davidson family and the way it has protected and built such a storied franchise,” he said, adding: “I grew up here, and I am glad to be back and I am very excited about all the possibilities looking forward.”
Early in his career, Gores was an active investor in smaller businesses, where companies often trade principally on their good word and ability to follow through on what they promise. Since moving to California and establishing Platinum, Gores continued to embrace this business philosophy while packaging exponentially larger transactions which – within just four years of its founding — earned Platinum recognition by Forbes as one of America’s “Largest Private Companies.”
David Stern, commissioner of the NBA, delivered a cautious endorsement of the Pistons sale in an email to the press: “We are pleased that Karen Davidson has found a worthy successor for ownership of the Pistons and we are looking forward to introducing Tom Gores to the Advisory/Finance Committee at next Thursday’s meeting.”
Barbara Ferguson
Arab News