LeBron James reportedly borrowed nearly $300 million through firms tied to ex-Lakers owner

LeBron James reportedly borrowed nearly $300 million through a financing arrangement involving insurance companies advised by Guggenheim Partners, months before he left the Cavaliers for the Lakers in 2018.

Yes, there’s a lot to unpack there.

According to Bloomberg, an LLC controlled by James issued bonds backed by future income from his endorsement deals, including his lifetime Nike agreement. Two life insurance companies purchased the bonds, essentially allowing James to receive a large chunk of that future money up front.

The original financing carried a 4.8 percent interest rate and isn’t due until 2049.

Here’s where things get particularly interesting.

The insurers were advised by an arm of Guggenheim Partners, whose longtime CEO was Mark Walter, who later became majority owner of the Lakers. Guggenheim also invested in James’ SpringHill media company in 2020.

There is no indication James did anything improper. His spokesperson described the arrangement as a common financial structure for someone with his level of wealth and said a later 2022 transaction received NBA approval.

Still, the previously unreported financing arrives at an interesting time.

Walter recently sold the Lakers while restructuring portions of his business empire amid federal scrutiny involving more than $20 billion in loans connected to affiliated businesses. James, meanwhile, left Los Angeles for Philadelphia this summer.

So no, this isn’t a story about LeBron needing $300 million to pay the electric bill.

It’s just another fascinating connection between one of basketball’s biggest stars and the increasingly complicated business surrounding NBA ownership.