The Nets’ salary dump of Patty Mills to the Rockets will instead see the veteran guard rerouted to Oklahoma City.
The Thunder will receive draft compensation to take on Mills’ $6.8 million expiring contract, ESPN reported Sunday.
The Nets had agreed to trade the 14-year veteran to Houston on Saturday for salary-cap relief after agreeing to a one-year deal with former Knicks point guard Dennis Smith Jr.
The Athletic had reported Saturday that Mills was slated to be included in the Rockets’ sign-and-trade deal with Memphis for free-agent guard Dillon Brooks.
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The 34-year-old Mills was the oldest remaining Net and the only player left on the roster with a championship ring, but he played in only 40 games last season with two starts, averaging 6.2 points per appearance.

He had averaged 11.4 points over a team-high 81 games in 2021-22, including a career-best 227 made 3-pointers, the second-most in one season in team history.
Brooklyn also traded Joe Harris and two future second-round picks to Detroit on Friday for salary cap relief, before re-signing restricted free agent Cam Johnson to a four-year contract worth $108 million.
Seth Curry (Mavericks) and Yuta Watanabe (Suns) have signed elsewhere as free agents.