Posted on May - 14 - 2010

Forest City Enterprises unit closes deal to sell big stake in New Jersey Nets

Forest City Enterprises Inc. (NYSE: FCEA, FCEB) said its Forest City Ratner subsidiary has completed an agreement with Nets Sports and Entertainment and Russian billionaire Mikhail Prokhorov under which entities controlled by Mr. Prokhorov will acquire an 80% stake in the Nets basketball team and a 45% share in the Barclays Center arena in Brooklyn.

The transaction was approved by the National Basketball Association’s board of governors on May 11.

“This is a major step forward for Brooklyn, the Nets and Atlantic Yards,” said Charles A. Ratner, Forest City Enterprises president and CEO. “We are pleased to partner with Mikhail Prokhorov and we share his vision of bringing professional basketball to Brooklyn and to a worldwide audience from the Barclays Center at Atlantic Yards.”

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