Finance 2 min read

NFL Owners Vote to Allow Private Equity, Reshaping Franchise Ownership Rules

Written by MOS Editorial Team

Published on 28 August 2024

In a historic move, NFL owners have voted to allow private equity firms to invest in team ownership, opening the door for significant financial shifts in the league. Previously restricted, private equity funds can now purchase up to a 10% stake in NFL franchises, providing much-needed capital for teams dealing with skyrocketing valuations. With select firms, including industry heavyweights like Arctos Partners and Blackstone, already lined up, this change is set to influence team ownership across the league.

This decision also comes with strict guidelines. Private equity investments will be capped at 10% per team, and firms must commit to holding their stakes for a minimum of six years. Additionally, the NFL has implemented a profit-sharing mechanism, ensuring that the league benefits from future stake sales. This cautious approach stands in contrast to other major leagues like the NBA and MLB, which have more lenient private equity rules. However, it reflects the NFL’s commitment to balancing financial innovation with control.

Read Ministry of Sports in-depth analysis of how private equity is set to reshape the NFL’s future and unlock fresh business opportunities.

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