NBL owner Larry Kestelman shuts down Illawarra Hawks majority owner Jared Novelly’s takeover bid

NBL owner Larry Kestelman has shut down the bombshell revelation that Donald Trump ally and billionaire oil tycoon Jared Novelly is plotting a hostile takeover of the league.

Larry Kestelman Jared Novelly NBL

The NBL finals series has been rocked by revelations the owner of Illawarra Hawks is launching a hostile takeover of the basketball league in a bid to oust Larry Kestelman.

On the eve of the biggest game in Illawarra’s 46-year history, the simmering blue that has quietly gone on behind scenes between the Hawks’ American Trump loyalist owner Jared Novelly and the NBL has gone nuclear.

However, in an NBL statement Kestleman has shut down the revelation, declaring “the NBL is not for sale.”

“We remain fully committed to the continued and unprecedented growth and success of the NBL.”

Billionaire oil tycoon and Illawarra Hawks majority owner Jared Novelly has launched a bombshell takeover bid for the NBL.

In an email to fellow club owners, seen by Code Sports, the billionaire oil tycoon scion has proposed a hostile takeover of the Kestelman-owned NBL by the 10 clubs.

In the email, Novelly raises issues of alleged “secret Ambassador Agreements, gambling revenue, the sale of the JackJumpers, integrity concerns and financial transparency” and offers up terms for the takeover.

Novelly touches on a report from financial auditor KPMG which alleges a history of inconsistent club distributions that “shines a light on the relatively small revenue share which the clubs receive when compared to the total NBL associated profits of NBLCO and the broader LK Group companies”.

Jared Novelly letter to NBL owners

“We think that the Clubs need to act now to move towards a fair, sustainable ownership structure of the league which safeguards our investment in our Clubs and the league,” Novelly wrote in the email.

In a takeover term sheet, Novelly will propose each of the 10 clubs would own a 10 per cent share and Kestelman would:

-receive $1 million from each club

-retain the proceeds of the $35 million sale of Tasmania JackJumpers

-an ongoing position such as “honorary president” or a trophy named in his honour.

Larry Kestelman is the owner of the NBL. Picture: Darrian Traynor/Getty Images for NBL

The revelation intensifies an ongoing battle between Novelly’s Hawks and the Kestelman’s league as Illawarra gears up for a game five grand final decider against Melbourne United in Wollongong.

Last month, Novelly was named by US president Donald Trump as the country’s ambassador to New Zealand and Samoa.

Novelly would not comment when contacted by Code Sports on Friday morning.

One source, speaking on the condition of anonymity, told Code Sports: “This has been brewing for years and will likely get very ugly.

Originally published as NBL owner Larry Kestelman shuts down Illawarra Hawks majority owner Jared Novelly’s takeover bid