NFL to vote on private-equity team ownership, reports say

By Steve Gelsi

Pro football league may allow private-equity firms to own up to 10% of a team

The National Football League is expected to vote Tuesday on whether private-equity firms will be allowed to own stakes in its teams. It is the only remaining U.S. sports league that does not currently permit backing from the asset class.

The league of 32 professional football teams is looking at creating a small group of approved buyers, according to reports.

Any potential deals between private-equity firms and NFL teams would still be required to be reviewed by the team's existing owners and by the league, the reports said.

The move would potentially free up a consortium made up of Dynasty Equity, CVC Capital Partners, Blackstone Inc. (BX) and Carlyle Group Inc. (CG) to own part of an NFL team.

Ares Management Corp. (ARES), Arctos Partners and Sixth Street Partners would also be approved for potential transactions.

Axios reported that the NFL is considering allowing institutions backed by private capital to move into the league due partly to the increasingly high prices of NFL teams. It would increase the pool of potential deep-pocketed buyers for existing team owners' stakes in various teams.

An NFL spokesperson did not respond to an email from MarketWatch.

Teams in need of capital for new stadiums include the Tennessee Titans and the Buffalo Bills. The Washington Commanders, Cleveland Browns and Chicago Bears are currently weighing the construction of new stadiums.

Sportico reported that the NFL may allow private-equity firms to own up to 10% of a team, compared with up to 30% for other big North American professional sports leagues.

Some NFL owners only want to allow private-equity firms to own up to 5%, Sportico reported.

-Steve Gelsi

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08-26-24 1139ET

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