Malcolm Lemmons’ Post

Private equity is reshaping the ownership landscape in sports. Two-thirds of the MLB and NBA teams now have private-equity backing, according to PitchBook. And, the NFL and other leagues have considered opening their doors to more institutional investors. Team valuations have soared accordingly across sports. As private equity becomes more intertwined with sports, some veterans in the field have warned of a bubble. But others are unlikely to be deterred. A recent study bolsters the case for sports investing, saying it can offer strong returns in bull markets and fare better than other asset classes in downturns. Lucia Moses, Tiara White, and I break down the top private-equity firms in sports and where they're investing. Read the full story in Business Insider: https://lnkd.in/eSfytYX3

Since 2019, institutional investment has been flooding into the world of sports. According to PitchBook data, $54.6 billion has been invested in sports by private-equity firms. The MLB and NBA have been leading the charge, with two-thirds of their teams backed by private-equity firms. Interestingly, the NFL has yet to follow suit. Read more about this trend in Business Insider.

Since the MLB opened its doors to institutional investment in 2019, all the major leagues except the NFL have followed suit. Since then, private-equity firms have poured $54.6 billion into sports, according to PitchBook data. Two-thirds of the MLB and NBA teams now have private-equity backing, according to PitchBook. More in Business Insider 👇

Since the MLB opened its doors to institutional investment in 2019, all the major leagues except the NFL have followed suit. Since then, private-equity firms have poured $54.6 billion into sports, according to PitchBook data. Two-thirds of the MLB and NBA teams now have private-equity backing, according to PitchBook. More in Business Insider 👇

Exciting growth in sports is drawing private equity firms into emerging markets with expanding fan bases and commercial potential! 🏈🏟️ Investments span leagues, academies, and grassroots programs, nurturing talent and broadening sports' reach to a wider audience. As Front Office Sports reports, technology, betting, and increased funding are driving this boom, with global sports investments surpassing $30 billion annually. #Sports #PrivateEquity

🥁 𝐃𝐲𝐧𝐚𝐦𝐢𝐜 𝐒𝐡𝐢𝐟𝐭𝐬 𝐢𝐧 𝐒𝐩𝐨𝐫𝐭𝐬 𝐈𝐧𝐯𝐞𝐬𝐭𝐦𝐞𝐧𝐭𝐬 🥁 Private equity firms are making significant waves in the sports industry. For instance, Apollo Global Management, Inc.'s venture into the media side of sports by acquiring Yahoo demonstrates a strategic blend of media and sports investment. Another major player, Arctos Sport Partners, has taken substantial minority stakes in major league teams, including the Golden State Warriors and the Los Angeles Dodgers. These investments reflect a strategic push into high-growth areas with stable revenues. Explore again an eye-opening report from Business Insider here. #PrivateEquity #SportsBusiness #StrategicInvestments #ApolloGlobalManagement #Yahoo #Arctos #GoldenStateWarriors #LosAngelesDodgers #MergersAcquisitions

Pepper Trends Private equity firms are increasingly eyeing sports teams as investments. Attracted by rising team valuations, media rights, and sponsorships, sports teams makes attractive investments with new revenue streams. These firms are buying minority stakes in teams, with some opportunities opening up to wealthy investors. Read more for details -https://lnkd.in/ew67hz7M #PrivateEquity #Alternatives #PrivateAssets #PortfolioManagement

Very interesting article about the investment trends in professional sports and the increasing role of private equity firms in sport that is now seen as an asset class. Key Takeaways: 🏀 Skyrocketing Values: Global investment in professional sports jumped from <$10B in 2008 to >$30B last year! Key Drivers: 💻 Tech Boom: From paperless tickets to AI strategies, tech is revolutionizing sports. 🎰 Gambling Gold Rush: Legal sports betting is a game-changer. 📺 Media Must-Have: Decline of cable has made sports essential for media giants. 🌐 Global Expansion: Growing markets & booming women's sports open new doors. 💰As a result we have seen an impressive franchise value growth since 2004: NBA: +1,176% to $3.8B NFL: +523% to $5.1B MLB: +631% to $2.4B NHL: +714% to $1.3B https://lnkd.in/dt8hM82V #SportsInvestment #PrivateEquity #TechInSports #FranchiseValues #SportsBusiness #InvestmentTrends 

🌟 A Look at Sports Finance: First Quarter 2024 Insights As we look back on the first quarter of 2024, my latest blog takes a closer look at the evolving financial landscape of the sports sector, underscoring its significance in the global economy. 🔍 What You'll Find Inside: • Investment Overview: An analysis of the key financial activities, including mergers, acquisitions, and funding rounds, offering insights into the strategic movements within sports tech investments. • Strategic Alliances: Highlighting pivotal partnerships and acquisitions that promise to chart future growth paths, including notable moves by industry giants. • Technological Advancements: Exploring the role of innovation in sports, from esports betting to fitness tech, and how these advancements are shaping the market. • Market Insights: Reflecting on the wider market trends, such as JPMorgan's targeted sports investment team and Netflix's significant WWE rights acquisition, and their implications for the sports industry's direction. Join the conversation on the latest trends and the future outlook for the sports industry as we analyse 2024's promising start. #SportsFinance #MergersAndAcquisitions #TechInnovation #SportsTechnology #FutureTrends

Private equity investment in sports is booming driven by high valuations and lucrative media rights deals. Since Major League Baseball (MLB) allowed outside investments in 2019, $59 billion has flowed into sports. Seeking to broaden the buyer base for their increasingly valuable assets, teams eventually opened the gates to private capital, and now at least a dozen teams in the National Basketball Association (NBA), National Hockey League (NHL) and Major League Baseball (MLB) have private equity among ownership. Besides Arctos and Blue Owl Capital, some of the major private equity firms in the space include Bruin Capital, RedBird Capital Partners and Clearlake Capital Group. Despite high valuations, the sector remains attractive for its resilience and diversification potential. Perspective by Christopher C. Williams from Financial Advisor Magazine.