"Study: Big Ten Exploring Potential Investment from Private Equity Firms"
The Big Ten Conference is assessing investment interest from private equity firms despite the league's previous opposition to combining risk capital and college sports, according to a report from Sportico on Thursday.
The investment bank Evercore, which was previously hired by the Big Ten, received initial offers from private equity firms earlier this week, as per the report. A spokesperson for the Big Ten confirmed Evercore's inquiries to Sportico but did not provide further details.
"In order to better support its 18 member institutions, the conference is considering potential strategic partnerships to enhance its event, sponsorship, and other ancillary business ventures," the Big Ten spokesperson said in an email to Sportico.
Evercore's inquiries come after Big Ten commissioner Tony Petitti opposed the idea of bringing private equity into intercollegiate sports last fall. Southeastern Conference commissioner Greg Sankey also took a similar stance when leaders from both conferences met in Nashville in October. The Big Ten and SEC will meet again next month in New Orleans.
Currently, no other conferences have a private equity deal, although the Big 12 explored this option, according to a report from CBS Sports last June. However, this could change in the near future if the House v. NCAA lawsuit is finalized this spring. The proposed settlement would allow schools to share revenue directly with their athletes and distribute around $2.8 billion to former athletes who were not compensated for their name, image, and likeness.
According to Sportico, the Big Ten generated $880 million in revenue in 2023, the highest among all conferences. This also marked the first year of the Big Ten's seven-year multimedia rights deal with CBS, Fox, and NBC, which is worth $7 billion.
