Banchero was drafted by the Orlando Magic as the first overall pick in 2022.
Image Credit: David Butler II-Imagn Images
Orlando Magic forward Paolo Banchero has agreed to sign a five-year maximum rookie contract extension worth $239 million, which might reach up to $287 million. As Mike Miller of LIFT Sports Management told ESPN, Banchero’s deal includes a player option in the fifth year. This is the first for a rookie max since 2021, when Luka Doncic of the Dallas Mavericks and Trae Young of the Atlanta Hawks signed their rookie max contracts.
Following the deal, the Magic have Banchero and Jalen Suggs under contract for the next five years along with Desmond Bane through the 2028-29 season.
Banchero, 22, was drafted by the Orlando Magic as the first overall pick in 2022. In the recent past season, he averaged 25.9 points, 7.5 rebounds, and 4.8 assists per game across 46 games for the Magic. Overall, he has made 198 appearances with an average of 22.4 points, 7.1 rebounds, and 4.6 assists, while starting in all of them. Banchero also led the Magic to the first round of the playoffs, where they slumped to the Boston Celtics, 4-1.
Breaking: Orlando Magic star Paolo Banchero has agreed to a five-year maximum rookie contract extension that could reach $287 million, Mike Miller of LIFT Sports Management tells ESPN. Deal includes a player option; the first for a rookie max since 2021 (Luka Doncic, Trae Young). pic.twitter.com/bwnCrJbnmu
— Shams Charania (@ShamsCharania) July 7, 2025
What Next For Orlando Magic and Paolo Banchero?
The Duke alum missed 34 games for the Magic due to an oblique injury in the recent past season, which kept him under 65 games and away from All-NBA consideration. He will have to wait until the All-NBA teams are revealed next season to find out if he is eligible to get a starting salary at 30% of the projected $171.1 million salary cap for the 2026-27 season. Currently, he is eligible for a max extension starting at 25% of the cap.
Having signed Banchero and Franz Wagner, the Magic have established themselves the foundation for championship contention. This is followed by their trade of Kentavious Caldwell-Pope, Cole Anthony and the rights to five first-round draft picks to the Memphis Grizzlies in order to sign Desmond Bane. They are now poised to maximize their window of opportunity by having locked in a young core. It would enable them to focus on pursuing their first NBA championship.