Number of private equity deals in sport soared in 2024, report says
The number of major sports acquisitions and mergers by Private Equity has nearly doubled in the last 12 months.
Private Equity deals have risen from 96 in 2023 to 190 in 2024, according to a new report.
Financial advisory firm Oaklins states that there has been an overall 44 per cent increase in deals – up to 410 in total – in what is a record year for mergers and acquisitions.
Amongst the deals completed in 2024 were Roundhouse Capital’s acquisition of Premier League club Everton for around £400m, Arctos Partners and Ares Management investing in the Buffalo Bills and Miami Dolphins respectively, Mercury/13’s acquisition of Serie A Femminile team FC Como Women, acquisitions of TGL golf teams and various major investments involving the likes of RedBird Capital.
Nearly half (45 per cent) of the 410 deals were completed by private equity giants, with sports investments set to continue into 2025 after the England and Wales Cricket Board already sold eight minority stakes in teams playing in the Hundred.
Private equity reigns supreme
The 410 deals concluded in 2024 dwarfs the 2023 figure of 285, and further shadows the 2022 figure of 235.
Investors are often seeing sporting leagues and teams as key growth markets, with some NFL teams now bordering on a valuation of $10bn.
There has been talk in England surrounding tennis and rugby, while states in the likes of Crystal Palace, Aston Villa and Watford are reportedly up for negotiations.
Even Tottenham Hotspur, which boasts one of the best stadiums in Europe, has reportedly seen interest from Qatar.
Oaklins suggests that the sporting market is in no way going to die down soon, with sporting assets seen as desirable across the globe.
The number of private equity deals completed in 2024 (190) is more than the 2023 and 2022 figures combined, reinforcing the hold heavy buying power from the likes of CVC Capital Partners, Silver Lake and Clearlake has in sport.