Last month, the Big Ten announced a private capital deal worth around $2.4 billion with UC Investments, the pension fund for the University of California system. Now as the deal is set to go to a vote for approval, member schools of the Big 10 are threatening to sue the conference in order to release... Continue Reading →
Photo Credit: https://baumgartner.house.gov/ On Monday, October 6th, Representative Michael Baumgartner (R-Wa-5) introduced a bill that would amend the Higher Education Act of 1965 to prohibit certain private-equity, sovereign wealth fund, and hedge fund agreements involving intercollegiate athletics.[1] This comes after a string of headlines within the past year and a half involving rumors of private... Continue Reading →
On September 29th, it was announced that Electronic Arts (known as “EA”) was purchased in a $55 billion leveraged buyout. The buyers? Saudi Arabia’s Public Investment Fund, Silver Lake Capital, and Jared Kushner’s Affinity Partners.[1] How does this relate to college sports? Well, EA produces the College Football game, which is released yearly and features... Continue Reading →
Relaxed ownership rules have opened the door for private equity investment in U.S. professional sports teams. From the NFL[1] to the MLB,[2] private equity firms are becoming a dominant force in team ownership. While investment in European sports teams, particularly soccer teams, has long been common, the trend in the U.S. began largely when Major League Baseball... Continue Reading →