NFL Weighs Letting Blackstone, Apollo Unit Buy Minority Team Stakes

Blackstone Inc. (NYSE:BX) and a unit of Apollo Global Management (NYSE:APO) are holding early-stage conversations with the NFL about becoming approved investors eligible to acquire minority stakes in league teams.

The conversations remain preliminary, and both firms would likely need to secure an investment opportunity with a team before moving through the league’s approval process, people familiar with the talks told Bloomberg. 

An approval decision is not expected in the near term, with the process potentially extending into next year, one of the people added.

The NFL has also been talking with several other private equity firms, sources noted. League owners have been satisfied with their existing private equity partners, sources added.

The NFL adopted a policy in 2024 allowing private equity firms to buy minority stakes in teams, giving owners another way to raise funds for stadium projects and estate planning. 

The policy has also coincided with a surge in franchise values. The Super Bowl-winning Seattle Seahawks recently sold for a record $9.6 billion, surpassing the roughly $6 billion paid for the Washington Commanders in 2023.

Private Equity Buys Up Professional Sports

Private equity and venture capital in sports have been an accelerating investment trend, with firms looking to acquire minority or majority stakes in professional teams, leagues, and businesses as company valuations grow. Major leagues such as the NFL, NBA, MLB, and NHL now permit private equity investment into their franchises. 

According to a report from Meketa, the global sports market reached $463 billion in revenue in 2024, is expected to reach $600 billion in revenue by 2028, and nearly $863 billion by 2033. 

Drivers of this growth include "the rising value of media rights deals, increased fan engagement, the expansion of sponsorship and merchandising opportunities, and growth in sports-adjacent businesses," the report stated.

Other private equity and venture capital firms have recently purchased sports franchises.

Josh Kushner and Bob Iger recently purchased the Los Angeles Lakers in a deal worth approximately $12.5 billion. Thrive Capital also bought a small stake in the San Francisco Giants through a new holding company called Thrive Eternal, earlier this year.

Apollo Sports Capital is providing $2.6 billion in debt and equity financing to Yankee Global Enterprises, bringing the private-equity firm in as a new strategic backer of the New York Yankees’ holding company.

In March, a consortium comprising Blackstone, Bolt Ventures, Aditya Birla Group, and The Times of India Group agreed to acquire the Royal Challengers Bengaluru (RCB) cricket franchise. 

Meanwhile, Ares Management Corp., Apollo Global Management and Sixth Street Partners are reportedly having early-stage conversations regarding the National Basketball Association’s (NBA) European expansion.

Earlier this year, KKR & Co. (NYSE:KKR) entered into a definitive agreement to acquire Arctos Partners, an institutional investor in professional sports franchise stakes.

Photo: Shutterstock/Kim Reinick