10:29am: Along with Valentine, the Knicks are acquiring $1.1MM in cash in the deal, according to ESPN’s Adrian Wojnarowski (Twitter links), who says New York will give up the draft rights to Louis Labeyrie and will acquire the draft rights to two other players, though none of them are expected to ever play in the NBA.
While we still need some gaps filled in here, I suspect it’s the Lakers – not the Cavs – sending the cash to New York and acquiring Labeyrie’s rights.
New York will decide soon on whether to waive Valentine or have him remain on the roster, Woj adds. As noted below, the Knicks will have to cut a player – likely Selden – in order to complete the deal.
10:20am: The trade sending Rajon Rondo from the Lakers to the Cavaliers, which hasn’t yet been officially finalized, is being expanded to include a third team, reports Shams Charania of The Athletic (Twitter link). According to Charania, the Cavs will send Denzel Valentine to the Knicks rather than to the Lakers.
With Rondo going from Los Angeles to Cleveland and Valentine headed from Cleveland to New York, the Knicks will presumably need to send something to the Lakers to complete the deal.
The Lakers may also send a small extra asset to New York to incentivize the Knicks to take on Valentine, whom L.A. reportedly intended to waive. If the Lakers don’t have to acquire a player in the three-team swap, their tax savings will be greater than if they’d cut Valentine and been on the hook for his partially guaranteed cap hit.
Meanwhile, if the Knicks aren’t sending a player out in the deal, they’ll have to waive someone in order to acquire Valentine, whether or not they plan to keep him. Wayne Selden, whose salary isn’t fully guaranteed, is New York’s most likely candidate to be cut.
With a number of details still unclear, we’ll await more info for further clarity. But it sounds like the trade could be officially completed as soon as today.