Latest Clippers, Kawhi Leonard Deals Scrutinized Amid Aspiration Bankruptcy
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Los Angeles — Court filings show Clippers owner Steve Ballmer quietly poured almost $10 million into the now-bankrupt green-finance firm Aspiration in March 2023, months after the company began slashing jobs and burning through cash.
The new documents, reviewed by The Athletic, mark Ballmer’s second known investment in the start-up. Pablo Torre reported on Sept. 3 that Ballmer had already committed $50 million in September 2021, a payment completed three months later. Multiple sources told The Athletic that the Clippers organization separately contributed more than $50 million to Aspiration to purchase carbon offsets as part of a bid to make the franchise carbon-neutral.
Leonard’s Endorsement Package
Star forward Kawhi Leonard signed a four-year, $28 million endorsement agreement with Aspiration in April 2022, yet internal records provide no evidence that he performed work for the company. A subsequent Boston Sports Journal report, confirmed by Torre, said Leonard also secured an additional $20 million in Aspiration stock through a side arrangement funded personally by co-founder Joe Sanberg.
“I am personally contributing stock to Kawhi to make this partnership possible,” Sanberg wrote in a May 2022 email obtained by The Athletic. He added that Aspiration’s chief executive thought the deal was “not worth doing.” Last month, Sanberg pleaded guilty to two counts of wire fraud for defrauding investors and lenders of more than $248 million.
Former Aspiration executives told The Athletic that Leonard’s lucrative pact caused confusion inside the firm. One top official said the agreement “materialized out of the ether,” noting that fellow celebrity endorsers Leonardo DiCaprio and Robert Downey Jr. each received under $2 million.
Timeline of Additional Investments
Ballmer’s March 2023 cash infusion arrived roughly three months after Dennis Wong, Ballmer’s former college roommate and the Clippers’ lone minority owner, injected about $2 million into Aspiration. Wong’s payment came after the company missed a $1.75 million quarterly installment owed to Leonard; the forward was paid nine days later, the same day Aspiration laid off 20 percent of its staff.
League Investigation
The NBA is examining whether the Clippers and Leonard used their ties to Aspiration to sidestep salary-cap rules. Leonard’s endorsement contract reportedly included obligations to promote the brand but allowed him to decline any activity that conflicted with his personal beliefs. Former CEO and co-founder Andrei Cherny has denied that the arrangement amounted to a “no-show” deal.
Bruce Arthur of the Toronto Star previously reported that Leonard’s representatives sought a similar outside agreement when he entered free agency in 2019.
Source: HoopsRumors
