Mark Cuban to Serve as General Partner in New $750M Sports Fund

Former owner of the Dallas Mavericks, Mark Cuban, is stepping into a pivotal role as a general partner for Harbinger Sports Partners Fund.

This new private equity fund is specially tailored to target minority stakes in professional franchises across major sports, including the NBA, MLB, and NFL.

The fund aims to raise USD$750 million (AUD$ 1.1 billion) by 2027 and will be spearheaded by seasoned venture investors, Rashaun Williams and Steve Cannon.

As co-founders and managing partners, Williams, who serves as a limited partner with the Atlanta Falcons, and Cannon, who previously managed both the Falcons and MLS team, Atlanta United, under the AMB umbrella, bring significant industry experience.

Why the Fund Stand Outs

Harbinger is positioning itself to stand out through its deep operational expertise and valuable connections within league offices and ownership groups with the influx of institutional capital into the sports sector.

Commenting on the investment, Williams, said: “We’re at the very early innings in how we view investing in sports.”

“While many look at the valuation of teams from an external standpoint.

“We focus on the internal dynamics as owners and operators.Valuation growth stems from core fundamentals.

“Labor and media issues present challenges in MLB, but they also offer significant opportunities, especially for those with the right experience and expertise.”

“Owners and operators of professional sports teams provide invaluable insights that can greatly enhance deal flow and add value to teams open to strategic partnerships,” he said.

Williams also sees a shift from traditional revenue models reliant on ticket and sponsorship sales to a broader media-centric approach, while also uncovering new local revenue streams.

League Ownership Rules

Ownership rules vary across the leagues. In the NFL, ownership rules permit a single fund to control up to six franchises, whereas the NBA allows for ownership of five teams (with a maximum stake of 20%).

Notably, MLB does not impose a limit on the number of teams in which a fund can invest, however their stake can’t go over 15%.

The Atlanta-based fund expresses confidence in receiving the necessary approvals from each league as it adheres to stipulated regulations.

The Focus on Established Leagues

Focusing on established leagues, Harbinger is intentionally avoiding the trend of investing in emerging sports leagues. Instead, it remains committed to the established major leagues, despite current challenges within the regional sports networks landscape.

Future Plans and Investment 

As the fund anticipates capital commitments, it plans to offer team owners secondary market liquidity solutions and develop secondary transaction infrastructure. This will enhance flexibility for its limited partners.

Moreover, with Cannon’s expertise in stadium construction, having presided over the building of Mercedes-Benz Stadium in Atlanta, the fund is well-equipped to support franchise operations.

The fund’s strategy includes acquiring minority stakes of up to 5%, targeting around 15 total investments with deal sizes estimated between $50 million (AUD$78 million) and $150 million (AUD$234 million).

This launch coincides with significant shifts in ownership regulations across major sports leagues, including the NFL’s recent allowance of private equity investments in teams—though capped at 10%.

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