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Baker Analyzes Sports Industry’s Allure for Major Investors7月 23, 2018
O’Melveny partner Chuck Baker, co-chair of the firm’s Sports Industry Group, was quoted in the July 23, 2018, Law360 article “Skyrocketing Team Values Attracting Sophisticated Investors.” The article reports that the recent trend of sports team purchases by prominent investors may continue given the growth in sports franchise values.
Baker, who guided prominent investor David Tepper’s purchase of the Carolina Panthers, explains that “sophisticated financial professionals are increasingly investing in sports teams and related opportunities because of the solid return of the asset class over the last 10, 20 years.”
He added: “In addition, with live sports virtually being the only 'DVR proof' content, media rights fees, both linear and analog, continue to escalate. When you combine that with favorable CBAs and revenue sharing in each of the major U.S. leagues and strong sponsorship economics, this is a particularly ripe investment environment.”