New York Giants Explore Limited Stake Sale, Valued at Record-Breaking NFL Franchise Price
The New York Giants are preparing to sell a minority stake in the team, potentially setting a record valuation for an NFL franchise, according to a report by Sports Business Journal.
The Giants, considered one of the most valuable sports teams in the world due to their storied history and the lucrative New York City market, have appointed Moelis & Co. as their banker.
The majority stake and control of the team will remain with the Mara family, led by team president John Mara.
While the specific reasons for exploring a limited partner are unknown, the move coincides with the NFL's approval of a policy allowing private equity firms to invest up to 10% in teams.
Recent Forbes and CNBC valuations of the Giants range from $7.3 billion to $7.85 billion.
In comparison, the Philadelphia Eagles, the newly crowned Super Bowl champions, have been valued at $6.6 billion (Forbes) to $7 billion (CNBC). In December, the Eagles sold a combined 8% stake to two families, valuing the franchise at $8.1 billion and $8.3 billion, respectively. Eagles owner Jeffrey Lurie maintains 85% control.
The Eagles currently dominate the NFL, while the Giants have struggled in recent seasons.
Three private equity firms obtained NFL approval in December to acquire limited partnerships in teams: Arctos Partners with 10% of the Buffalo Bills and Ares Management with 10% of the Miami Dolphins. CNBC valued the Bills at $5.35 billion before the sale, while the Dolphins were valued at $8.1 billion.