Mergers may have slowed but one asset class continues to increase in valuation and interest: sports team franchises. Some of the largest investment banks, such as JPMorgan Chase and Goldman Sachs, have created dedicated sports teams to cater to this group.
Valuations for major sports teams surged to record levels this year, with several leagues seeing their price tags increase by double and triple digit percentages. The highest price ever paid for a professional sports team was notched in June when Mark Walter, CEO of Guggenheim Partners, agreed to buy a majority stake in the Lakers in a deal that valued the basketball team at $10 billion. This surpassed the prior record holder—the $6.1 billion sale of the Boston Celtics to a consortium led by private equity executive William Chisholm—which was also clinched earlier this year.
