Another private firm is sprouting up to tap into growing sports revenues.
Two London-based hedge funds, Fasanara Capital and Tifosy Capital & Advisory, are pairing up to create a fund of up to $500 million targeting soccer teams.
Instead of focusing on ownership stakes in teams, the fund will seek to tap into revenue streams such as broadcast rights and ticket sales. Fasanara, which manages $4 billion in assets, will manage the portfolio, with Tifosy sourcing deals.
Top European soccer leagues have been eager to cash in on a portion of their media rights.
In December 2021, La Liga secured a $2.1 billion deal with CVC Capital Partners, though top Spanish teams Barcelona and Real Madrid opted out. France’s Ligue 1 sold 13% of its broadcast rights to CVC Capital Partners for $1.5 billion in March 2022.
In September, Serie A renewed talks to sell a portion of its media rights after a previous attempt fell apart amid opposition from teams including Juventus and Lazio. The league was seeking around $1.8 billion at the time from a group led by CVC.
Apax Partners, Three Hills Capital Partners, Carlyle Group, and Searchlight Capital have shown interest in working with Serie A on a deal.
Bundesliga is reportedly engaged with at least five firms on a similar deal, which would sell a 12-15% stake in its media rights over 25-30 years for between $2.7 billion and $3.25 billion.