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Wow … Tom Brady Officially Becomes Minority Owner of Las Vegas Raiders WHILE Keeping $375M Sportcasting Role At Fox Sports

Written by on October 15, 2024

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When you thought Tom Brady could not possibly win anymore, guess again. The seven-time Super Bowl champion turned sportscaster, has officially become a minority owner of the Las Vegas Raiders. Yes, he now has a stake in an NFL team, a storied franchise at that.

Brady is acquiring roughly a 10% stake in the team. That’s nothing to sneeze at. His investment is part of a partnership with Knighthead Capital founder Tom Wagner. According to sources familiar with the deal, Brady and Wagner bought into the franchise at a $3.5 billion valuation, with an equity investment of approximately $220 million.

Get these details, as part of the agreement, Brady and Wagner also paid a 10% “flip tax,” which will be distributed among the NFL’s 31 other owners. Additionally, former NFL player Richard Seymour acquired a stake of less than 1% in the Raiders at the same valuation.

Here’s how it went down. The NFL’s 32 team owners unanimously approved the deal at a league meeting in Atlanta, though neither Brady nor Wagner attended. According to CNBC’s Official 2024 NFL Team Valuations, the Raiders are the fifth-most valuable NFL franchise, worth $7.8 billion. This means Brady and Wagner secured their ownership stake at more than a 50% discount. Typically, limited partners with no control or operational say receive a discount of 20% to 25%.

As you can imagine, the Raiders’ value has surged since their 2020 relocation from Oakland to Las Vegas. The franchise generated $780 million in revenue in 2023, making it the third-highest in the league, with an EBITDA of $115 million. Despite Allegiant Stadium being one of the smallest in the NFL with just 65,000 seats, the Raiders have compensated by charging the highest average ticket price in the league, at $169.

Outside of the gridiron, Allegiant Stadium hosts a variety of non-NFL events, such as concerts and college football games, bringing in over $50 million in additional revenue for the team in 2023 alone.

ICYMI, Brady’s path to becoming a Raiders owner started in May 2023 but was delayed because some NFL owners felt his initial offer was too heavily discounted. His move into ownership follows his 2022 signing of a 10-year, $375 million broadcasting contract with Fox Sports after his first retirement from the NFL. As a Raiders owner, Brady will face certain restrictions in his broadcasting role, such as being barred from attending production meetings or accessing team facilities, players, or coaches. He will also need to follow NFL rules that prevent public criticism of officials or other teams.

This is not Brady’s first stint as a professional team owner. He is also a minority owner of the WNBA’s Las Vegas Aces, another franchise owned by Raiders’ owner Mark Davis. With this move, Brady becomes just the third former NFL player to take ownership of an NFL team.

Good for Brady. Sheesh.

The post Wow … Tom Brady Officially Becomes Minority Owner of Las Vegas Raiders WHILE Keeping $375M Sportcasting Role At Fox Sports appeared first on .

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