University of Utah enters agreement with private equity firm. Is this a game changer?

Big Ten wants entire conference to enter agreement
Utah seems to be going it alone, how does the Big 12 feel about this?

Fans simultaneously support this and complain about the state of the sport.


At some point we're gonna have to tell the New Yorkers to get the frick away from our game.

This is bad news.
PE firms shite on everything in their path.. they are there for profit and profit only.

My understanding is they supply capital for a stake in the athletic foundations at these schools… but the school still owns majority stake.

This will end poorly for these schools as it’s letting the fox in the henhouse.

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New Yorkers? Are you under the impression that private equity is just a New York thing?

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ONLY NEW YORK

Oh, so you’re retarded. Good luck.

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Mo Jeaux

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I forgot you're the autistic guy who struggles with sarcasm, tongue-in-cheek, and colloquialisms typically found on internet sports message boards.

Most people know that CFB is being influenced by a lot of wealthy people who don't give a shite about the game and are typically not from the south or midwest where CFB tradition matters more...

I said it as a catch all term for this... bc well im not in a courtroom

btw a quick google search will tell you:

Key Hubs in the U.S.
New York: The most active state for PE firms, hosting the highest number of them.

Won't this generate a huge tax problem? This will be a for-profit business and totally outside the umbrella of the not for profit university. And when there isn't enough revenue to generate both operating funds and a return to the PE firm, where do you cut?

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Is this a precedent that will snowball?

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So i have strong feelings about this and so will other alumni and politicians.

First off, many of these PE deals are structured more like debt and I wonder if the institutions aren't allowed to take out debt that isn't against a physical asset like a building, etc. What they are doing is carving out the operating assets of the athletic office, tickets, branding, concessions, etc. and selling an equity stake that comes with a profit share. The schools can buy the equity back, the equity ownership is minority and has no final say. All personnel decisions stay with the school and they have board control.

I think schools that are capital constrained or dont have valuable athletic programs to begin with are trying to find a way to compete. Any blue blood program has no real need for this and/or have powerful donors and or politicians that sill step in.This has already happened.

Yes. Has been discussed in years past by PE and VC firms after NIL happened.

We will be looking at “LSU Brought to you by Blackrock” in the near future unless the NCAA and Congress figure it the frick out.