Maccabi Tel Aviv Basketball Club Faces Ownership Dispute Amidst Leaked Remarks

Oudi Recanati, a co-owner of the prominent Israeli basketball club Maccabi Tel Aviv, has broken his usual public silence to criticize former partners and potential investors in a leaked conversation. The dispute centers on the club's ownership structure and financial management, with Recanati expressing strong opinions about the late David Federman and his son Dani, who previously held a significant stake.

Recanati, who controls 58% of the club with his son Shi, revealed in a recorded conversation with a fan organizer that his relationship with Dani Federman was strained due to what he described as "under the table, behind the back" management. He contrasted this with his positive relationship with the elder David Federman, a close friend for 50 years. The Federmans sold their 29% stake to Recanati for $50 million in July, after an initial attempt to sell to businessman Arik Shiltman, founder of the fintech company Rapyd, was blocked by the Recanatis.

Recanati also voiced concerns about Shiltman, stating he was too aggressive and attempted to overstep his role as a sponsor. He asserted that Shiltman could not be an owner of Maccabi Tel Aviv, a sentiment that reportedly spurred Recanati to purchase the Federmans' shares. The club's budget and financial competitiveness were also discussed, with Recanati claiming the Federmans consistently hindered efforts to increase the team's spending, which he stated reached $31.8 million this year.

Looking ahead, Recanati expressed a desire to bring in younger partners with management experience, specifically mentioning Jason Levin, former CEO of the NBA's Memphis Grizzlies. Recanati described Levin as a "passionate Jew" with significant financial resources, committed to investing $10 million annually in the club for at least three years. This potential deal is currently facing opposition from another shareholder, Richard Deitz, who holds 17.5% and is exercising his right of first refusal, leading to legal proceedings and a referral to arbitration.

The legal battle involves a request for injunctions filed by Deitz, who has submitted the transcript of Recanati's conversation as part of his opposition. The court has directed the parties to arbitration, as stipulated in their ownership agreements, to resolve the ongoing shareholder conflict.