2 min read

Atlanta Hawks Nearing Private Equity Sale

image

NBA franchise, the Atlanta Hawks, are nearing a minority stake sale to US-based private equity firm, Dyal HomeCourt Partners, which would value the club at almost USD$2 billion (AUD$2.75 billion).

The deal, which was reported by Sportico, would add the Hawks to the Dyal HomeCourt Partners portfolio which includes NBA clubs, the Phoenix Suns and Sacramento Kings.

In line with the NBA’s new policy concerning private equity investment firms being permitted to own up to 20% of a single club and invest in a maximum of five teams, the sale could be worth a reported $200 million.

The report also suggested the Hawks principal owner, Tony Ressler, asked the club’s minority partners if they would be interested in selling all or some of their ownership stakes to boost the value of the sale.

Ressler originally purchased the franchise in 2015 for USD$730 million (AUD$1 billion), and the club has also recently planned a USD$5 billion (AUD$6.9 billion) real estate development next to the State Farm Arena in Atlanta.

The report follows the release of Sportico’s annual valuations of NBA franchises, which named the Atlanta Hawks as the second largest growing value club with a 19% growth in value up to USD$1.83 billion.

Among the rest of the rankings, the New York Knicks topped all others, being valued at USD$6.12 billion, with the league-wide average sitting at USD$2.58 billion.

The Golden State Warriors, valued at USD$6.03 billion, and the Los Angeles Lakers, valued at USD$5.63 billion, round out the top three following the Knicks.

It's free to join the team!

Join the most engaged community in the Sports Business World.

Get all the latest news, insights, data, education and event updates.