Nasdaq’s Post

Las Vegas' path to being "sport capital of the world" includes attracting major sports franchises. Here’s my newest story on how Las Vegas is going from Sin City to the sports and entertainment capital of the world:

Private Equity is Set to Transform NFL Ownership ~The NFL is on the brink of a transformative change, considering a rule that would allow private equity firms to own up to 30% of its teams. This could dramatically alter the financial dynamics of the league. ~Under the proposed changes, individual private equity firms could buy up to 10% of a team. ~Aligning with trends in other leagues, this move could bring sophisticated investment strategies into the NFL, potentially enhancing the overall value and growth of the franchises. This shift towards private equity investment could be a major evolution in NFL team ownership, with potential to reshape the league's economic and operational landscape. Source:Bloomberg https://lnkd.in/gCQsRmxN

Intriguing ESPN article about how the National Football League (NFL) is exploring how Private Equity could get involved in team ownership going forward. "A special committee of NFL owners has spent the past nine months investigating potential changes to league rules for team ownership, an attempt to grapple with a shrinking pool of potential team buyers amid soaring team valuations." "One of the possibilities on the table: allowing institutional wealth, including private equity, to invest in NFL franchises, which the league has never permitted." "A move to allow private equity firms or institutional wealth to invest as limited partners could free up cash for owners to pursue projects such as stadium renovations and would represent a large shift in how the league has historically operated, with the majority of franchises traditionally run as family businesses with single-family ownership." Link to the article in the comments below.

A group of buyers acquired the Boston Celtics for $360 million in 2002. In 2024, after winning a championship and signing two of the largest contracts in NBA history with Jayson Tatum ($314M, 5 years) and Jaylen Brown ($304M, 5 years), they're putting the Celtics up for sale. Estimates for the final transaction are $4 billion+ (surpassing the sale of the Phoenix Suns in 2022). ----Edit 3/20/2025: WOW - news just broke they sold for a record-breaking $6.1B, the highest in North American sports history. Two things: 1. The growth in valuation is a huge reason why investing in sports franchises (and their Netflix documentary counterparts) are so hot right now: Michael Jordan and the Charlotte Hornets, A-Rod and the Timberwolves, Ryan Reynolds and Wrexham AFC + Alpine (F1), David Beckham and Inter Miami FC, etc. There's a lot of attention and money that goes into sports, and men's sports in particular, especially if you've got anchor stars that are driving that attention. 2. Signing the largest player contracts in NBA history, then walking away so someone else pays for it - that's a mic drop if I've ever seen one 😂

The recent data on the growth of sports franchise values is quite striking. As the chart shows, sports franchises, especially in leagues like the Major League Soccer and National Basketball Association (NBA), have significantly outpaced the S&P 500 in terms of growth over the past two decades. Considering this data, the question arises: is it time to diversify investments into sports franchises instead of traditional indexes like the S&P 500?

With record attendance and record sponsorship, the 2023-24 season was a banner year for the NBA, producing some $13 billion in league-wide revenue. But that number could see another double-digit-percentage jump this season—and that doesn’t even account for the national media deals the league signed over the summer. (The new contracts take effect next season and come with a roughly $4 billion annual raise over the old agreements.) The relentless rise in revenue is sending the value of the league’s 30 franchises skyward, to an average of $4.4 billion, up 15% from last year. No team would sell for less than $3 billion, Forbes now estimates, and three clubs are worth at least $7 billion. Take a closer look at the NBA's most valuable teams: https://trib.al/0auO8Tx

🏀 "NBA’s Most Valuable Teams of 2024: Who Tops the List?" 🏆 Forbes just dropped the 2024 ranking of the NBA’s most valuable teams, and the insights are incredible! 🏆 From iconic franchises to rising stars, see which teams are leading in value, influence, and market power this year. Check it out to see if your favorite team made the top! 💸🔥 #NBA #SportsBusiness #Forbes

Did you know? Over the past two decades, sports franchises have surged far beyond the S&P 500 in value. From Major League Soccer’s impressive 1,565% growth to the NBA’s 1,079%, sports franchises are proving to be powerhouse investments. With Champion Venture Partners, you can get in on this growth through curated opportunities in sports teams, tech, and emerging leagues. We’re here to give investors access to the thrill and high yield potential of the sports industry — because this isn’t just a game; it’s a game-changer for your portfolio. Ready to invest differently? Tap the link in our bio to learn more. #SportsInvesting #FinancialGrowth #CVP #AlternativeInvestments #SportsFinance #HighYieldInvesting #InvestInSport All investments carry risk. Please see important disclosures by visiting the link in our bio.

The NFL is next. This week it was reported that private equity investors may soon be allowed to buy as much as 30% of NFL franchises. The team owners will present their findings in Nashville over three days starting May 20, during the second of four annual league meetings. I believe this is inevitable for a few reasons among others: 1) Valuations are growing. As teams get more expensive to purchase, there are few individuals or families who can purchase these assets. This results in outside funding to come into the picture. 2) Innovation and leadership expertise. Many private equity firms pride themselves on their operational expertise. These funds can bring a new perspective or methods to help increase engagement, fandom, and retention. 3) The league is expanding globally. There is a lot of institutional capital coming from different countries. As the league looks to grow its footprint, it might be beneficial to allow global investors to deploy capital in these franchises to help with that expansion and reach new demographics. Whether this is overall net positive or net negative for the league is TBD, but regardless it is coming. S/O to Randall Williams #privateequity #sportsmoney #sportsbusiness https://lnkd.in/duv2DtUJ