The NFL has opened its doors to private equity firms, allowing them to invest up to 10% in individual teams. This decision, driven by the booming value of NFL franchises, presents owners with a new avenue to cash in on their investments while retaining control. The league, known for its strict ownership structure, has cautiously embraced this trend, observing its implementation in other sports leagues. The influx of private equity funding is expected to fuel the league’s continued growth, targeting an ambitious goal of $25 billion in annual revenue. The NFL’s move comes amid a surge in interest from private equity firms seeking to invest in lucrative sports franchises. Recent sales of the Denver Broncos and Washington Commanders at record prices further highlighted the potential for current owners to capitalize on their teams’ soaring value. The league has approved a limited number of firms, including Arctos Partners, Ares Management Corp., Sixth Street, and a consortium of five prominent funds. While these investments are designed to be passive, they could significantly influence the league’s financial landscape and potentially impact team decisions in the future.
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