Magic Johnson has built himself a $1.5 billion empire, but funny enough, not a single “dime” of it comes from his minority stake in the WNBA’s LA Sparks. And while he calls his $6 billion investment in the Washington Commanders “the greatest deal I’ve ever done,” Magic’s Sparks involvement has been a whole different story. He hasn’t exactly cashed in there, but here’s the twist: he still refuses to sell. And honestly, that might be the smartest call he’s made… okay, maybe the second smartest after the Commanders.

As of 2025, Forbes pegs the LA Sparks’ net worth at $235 million, with total revenue of $16 million, ranking 8th on the list of most valued WNBA teams. Back in 2014, when Magic Johnson became a minority owner, the situation was totally different—but he didn’t rush in. At Invest Fest, he sat down with Earn Your Leisure and shared one key takeaway from his business journey: “Now, we’ve owned this the Sparks for a few years. We haven’t made a dime. All right. It’s been a tough going for the WNBA except now.”

He added, “There was a time when we said, ‘Should we sell this?’ And we kept saying, ‘No, let’s hold on to it.‘” That decision to hold on finally paid off a few months ago. And it also turned out to be a reality check this year.

“Now, a group out of Boston just bought the Connecticut Sun for $325 million. Oh, thank God we didn’t sell too early. … Cuz now we only paid $10 million for the franchise. So when you think about that return we’re going to have, it’s amazing. So, don’t sell too early. Okay. I just wanted to point that out,” he noted. The Pagliuca-led group, including Celtics minority owner Steve Pagliuca, will pay $325 million to acquire the Sun from the Mohegan Tribe.

Pagliuca is also contributing $100 million for a new practice facility as the team relocates from Uncasville, Connecticut. It’s a record-setting deal and a huge win for the WNBA’s growth.

And that $325 million Sun sale didn’t just make headlines—it opened doors for other cities. Nine cities threw their hats in the ring for WNBA expansion, with Houston specifically called out as a future team. The league officially announced five new expansion teams set to debut over the next five seasons: Portland and Toronto in 2026, Cleveland in 2028, Detroit in 2029, and Philadelphia in 2030. Each paid a then-record $250 million expansion fee. Clearly, the WNBA is on a fast track to growth, and the Sun sale set the tone.

The league’s surge is undeniable. Sportico reports the 13 WNBA franchises jumped an average of 180% in value over the past year—more than double any previous major league gain. Collectively, the league is now worth $3.5 billion, with each team averaging $269 million, way up from $96 million in 2024. TV ratings, merchandise, attendance, and revenue boosts are driving the spike. Even the newest team, the Golden State Valkyries, debuted this season and is already valued at $500 million. The WNBA isn’t just growing—it’s booming.

Magic’s first major investor move? Back in 1994, he grabbed a 4.5% slice of the Lakers for $10 million, later flipping it for about $28 million in 2010. But he didn’t stop at basketball—he spread his wings across sports. In 2012, he teamed up with Guggenheim Partners and Stan Kasten to buy the MLB’s Los Angeles Dodgers. By 2018, he was co-owning MLS’s Los Angeles FC, which snagged the MLS Cup in 2022, and he also picked up a stake in the NWSL’s Washington Spirit.

Magic Johnson steps in to save the Sparks

Back in 2014, Magic Johnson became a minority owner of the LA Sparks, one of the original eight WNBA franchises. At the time, the Sparks weren’t exactly thriving, and Magic saw a team with potential but in need of serious stability. Fast forward to recent years, and that potential was being tested like never before. The Sparks were thrown into limbo this past Christmas when former owner Paula Madison abruptly told the league and team staff that her company could no longer operate the team. According to The Associated Press, Madison’s family lost $12 million running the franchise since buying it from the Buss family in 2007, including $1.4 million last season alone.

The league quickly stepped in to take control and actively sought new buyers. Even the Golden State Warriors explored purchasing the Sparks and relocating them to the Bay Area, a region with a strong women’s basketball fan base thanks to Stanford and California’s programs. All of this left the WNBA scrambling—scheduling for the next season was stalled, free agency was on hold, and talks for a new collective bargaining agreement had slowed. The franchise’s fate hung in the balance, and it seemed like the Sparks’ stability in L.A. was far from certain.

Then came the rescue: Magic Johnson and Los Angeles Dodgers chairman Mark Walter stepped in to buy the Sparks, keeping the team in Los Angeles and saving it from potential contraction or relocation. “The Sparks, one of the original eight WNBA franchises, have been in limbo… Now that Johnson and Walter have stepped in…one of the WNBA’s signature franchises can remain in Los Angeles,” WNBA president Laurel Richie told ESPN.

She added, “Everything moved relatively quickly… I just think that speaks volumes to who they are, how they work, and how interested they were. I think if you talk to both sides… it indicates this ownership group’s ability to identify an opportunity, go after it, and execute. And I’m proud of the team on our side that was able to partner with them. I think that bodes well for what we will do together in the future.”