Michael Jordan will sell a portion of the Hornets to two New York-based investors but will remain majority owner, the team announced in a statement on Saturday.
The transaction is subject to NBA approval.
"I'm excited to welcome Gabe and Dan as my partners in Hornets Sports & Entertainment," Jordan said in the statement. “"While I will continue to run the Charlotte Hornets, make all decisions related to the team and organization, and remain the team's NBA Governor, Gabe and Dan's investment in the franchise is invaluable, as we continue to modernize, add new technology and strive to compete with the best in the NBA."
The Charlotte Observerreports Jordan controls around 97% of Hornets equity. He became a minority owner in the then-Bobcats in 2006 and bought the team from BET co-founder Bob Johnson in 2010.
Forbes estimates the Hornets are worth around $1.3 billion, listing them at 28th among the 30 NBA franchises. The Knicks are the most valuable team and worth $4 billion.
The Hornets finished last season at ninth in the East at 39–43. The team enters the 2019-20 season without star Kemba Walker, who signed a four-year, $141 million maximum contract with the Celtics this summer out of his desire to advance deep into the playoffs.