Private Equity Firms Invest in NFL Teams

In a historic move, NFL owners have approved the sale of stakes in the Buffalo Bills and Miami Dolphins to private equity firms, marking the first time such investments have been allowed in league ownership. Terry Pegula will sell approximately 20% of the Bills, including a 10% share to Arctos Partners, while Ares Management acquired 10% of the Dolphins. This decision follows a rule change allowing private equity funds to purchase up to 10% stakes in NFL teams, although controlling ownership still requires at least 30%. This shift aims to enhance liquidity for team owners as franchise values climb. Pegula will remain the majority owner, despite the influx of new investors, which includes notable figures from sports and business. These developments signal a new era in NFL ownership dynamics, with private equity firms entering the scene for the first time.