Not sure why people are missing this, but the Kings will be matching any contract. Reason is simple: if it turns out, at any point, that you don't want him for that price, you trade him. You trade him for any thing. Letting him walk now for nothing is simply not happening.
The Kings WILL be matching, or signing him outright. THEN you decide if you want to keep him at that price. This is not even a question.
Of course, you may go to him and say, "we can only pay you this much if you'd like us to sign Iggy as your teammate. And Iggy will only sign if you are here..."
But he will be signed.