Image Credit: Patrick Breen/The Republic / USA TODAY NETWORK via Imagn Images

Phoenix Suns Face Ownership Turmoil As Mat Ishbia Sued by Minority Investors With Serious Allegations

Minority owners accuse Mat Ishbia

Image Credit: Patrick Breen/The Republic / USA TODAY NETWORK via Imagn Images

Infighting inside the Phoenix Suns and Mercury ownership group escalated into a courtroom battle this week. Two minority owners have filed a lawsuit against majority owner Mat Ishbia and the franchises’ holding company, alleging mismanagement, side deals, and a lack of transparency in team operations.

According to Front Office Sports, the lawsuit was brought by Kisco WC Sports II and Kent Circle Investments. Both were among the few stakeholders who retained their shares in the Suns and Mercury when Ishbia purchased control of the teams in 2023 for $4 billion from Robert Sarver.

The legal filing claims Kisco began negotiating a buyout of its stake last September after becoming dissatisfied with Ishbia’s leadership. Kent Circle, meanwhile, reportedly developed “growing concerns” regarding team management.

The Phoenix Suns have faced 6 lawsuits since November 2024, per @Baxter pic.twitter.com/gcPnggrgtr
— NBACentral (@TheDunkCentral) August 28, 2025

Instead of responding to Kisco’s request for a resolution by June 1, the suit alleges Mat Ishbia launched a capital call the very next day. That demand for additional investment, according to the plaintiffs, was designed as a “leverage strategy” to pressure and dilute minority stakeholders.

The plaintiffs argue they have been denied full access to financial records. They say the organization only provided an incomplete look at the books and required a non-disclosure agreement in return. Their suit seeks a more comprehensive review of team accounts.

Aggressive Moves, Poor Results Fuel Rising Unrest

Beyond the courtroom, Ishbia’s tenure as owner has been turbulent on the court as well. When he took control, Phoenix was still considered a contender after its 2021 Finals appearance. But his roster moves, including the deals for Kevin Durant and Bradley Beal, have failed to produce results.

The Suns were swept out of the first round in 2023 and missed the playoffs entirely last season with a 36-46 record. The instability has stretched to the sidelines. With Jordan Ott recently hired, the Suns are now on their fourth head coach in four years.

Mat Ishbia calls out NBA experts for sleeping on the Suns next season

“I'm not worried about what the so-called experts think. They had us as a title contender the past two years and were wrong then.” pic.twitter.com/oTDNnI5MbE
— NBACentral (@TheDunkCentral) August 27, 2025

Ironically, just a night before the lawsuit’s publication, Mat Ishbia pushed back at what he described as low external expectations for the upcoming season. He argued that media projections had already proven unreliable in past years, though critics point to the team’s repeated struggles.