Sky owner Michael Alter sued by minority partner for allegedly 'self-dealing' to devalue other shares

Julia Poe, Chicago Tribune on Jan 31, 2026

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CHICAGO — A minority partner in the Chicago Sky is suing longtime principal owner Michael Alter, alleging he violated his fiduciary duty to investors by misallocating and misrepresenting franchise value for his own benefit, according to a lawsuit filed in Cook County Circuit Court this week.

Minority owner Steven Rogers, an Englewood native and entrepreneur who was an early investor in the team, alleges in the suit that Alter abused his financial control of the Sky’s operations to “self-deal” stakes to boost his own shares while decreasing those of minority partners.

“Alter’s actions breached his fiduciary duty to the minority investors … and unfairly deprived them of the value of their investments,” the lawsuit said.

The complaint was filed Wednesday, and an initial hearing is scheduled for Thursday. Alter and the Sky declined to comment on ongoing litigation.

The suit stems from a dispute over ownership and stake valuation that began in September 2022. Shortly after the Sky won their first WNBA championship in 2021, the lawsuit alleges that “Alter orchestrated a series of transactions to claim a significant portion of the Chicago Sky valuation gains for himself” and then “used his position as the sole manager — with nearly complete control over the Chicago Sky finances and corporate entities — to seize what has quickly become over [redacted] million in value at the expense of other investors.”

The suit claims that Alter seized a majority stake “with no lawful basis and at an unfair price and at the expense of the other investors,” a decision that put his “own interests ahead of the team and other investors.” According to the lawsuit, Alter has declined to appoint a board of directors or advisers and runs the team “as his private concern.”

In September 2022, the suit alleges that Alter claimed the stakes of Rogers and other minority investors had “dropped in nominal value, even as the team value had increased.” Alter eventually went back on this initial valuation and offered a significantly higher value, but Rogers still feels the majority owner has stiffed minority stakeholders of significant value as the Sky’s popularity and revenue continue to build.

Alter brought the Sky into the WNBA in 2006, doling out a reported $10 million expansion fee with an investment group that included other investors such as then-team President and Chair Margaret Stender. The team has never publicized the full roster of minority owners from those early years of the team, but initial investors included Rogers in addition to prominent locals such as Michelle Williams.

The Sky sought new investment in 2023 when the financial realities of competing in the WNBA began to rapidly evolve. Operating chair Nadia Rawlinson bought into the team as a minority owner when she was hired in January 2023. Later that summer, the Sky welcomed a new group of investors who bought a collective 10% stake in the team, earning a new valuation at $85 million. That group — which included Cubs co-owner Laura Ricketts and former NBA superstar Dwyane Wade — is not included in Rogers’ suit.

In December 2025, Forbes valued the Sky at $240 million, seventh among WNBA franchises and 12th among women’s sports teams worldwide.

The cost of WNBA stewardship skyrocketed in the 20 years since Alter first bought the Sky. Expansion fees ballooned from $10 million in 2006 to a record $250 million each for the three newest franchises — in Cleveland, Detroit and Philadelphia — set to join the league by 2030. While billionaires buy into the league, Alter has struggled to keep pace in basic necessities such as player facilities and operational staffing.

Significant swaths of the initial claim are redacted in public copies of the filing, making it difficult to piece together the entire scope of Rogers’ claims against Alter — but the claim captures frustration about Alter’s ownership and operation of the Sky that echoes the complaints of former and current players.

“While the Chicago Sky basketball team has had some success on the court, as a business, Alter’s operation has been a mess,” the suit reads. “Throughout his tenure, Alter flouted the agreement’s basic requirements and minimal standards for business operations.”