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re: Unconfirmed reports that LSU athletics made a private equity deal.

Posted on 8/3/26 at 4:05 pm to
Posted by tigerbait2010
PNW
Member since May 2006
33785 posts
Posted on 8/3/26 at 4:05 pm to
JackieD said in July it’s absolutely not PE, so I’m riding with the baw who would certainly know more than a ginger at the Illuminator
Posted by Monday
Prairieville
Member since Mar 2013
5239 posts
Posted on 8/3/26 at 4:07 pm to
I'm not arguing that this could be a very bad idea. I'm just trying to think of an opinion besides everything will be the demise of LSU athletics.

This may be a way LSU can stay competitive financially in this new era. This could hold everyone (fans included) hostage. I don't have that answer. I do know that $20m+ football rosters every year are not sustainable by relying on Gordon and Graves.

The fact that we all need to come to grips with is that the LSU that we grew up with is never coming back. This is a business and is operated like so. LSU being one of the more profitable programs would be attractive to any PE firm with the capital to invest.

I'm not a financial sector SME by any means so please take my opinions with a grain of salt. I just try to think of all sides before I die on a hill. I reserve the right to lose my shite on this topic later on.
Posted by Nomadic Bengal
Member since Jul 2022
3783 posts
Posted on 8/3/26 at 4:08 pm to
If true, thanks for the memories.
Enshitification of all that is good continues unabated...
Posted by ThePoo
Work
Member since Jan 2007
61802 posts
Posted on 8/3/26 at 4:14 pm to
I think PE will be involved but I think this will be a bit different than the straight up PE deals you have seen from other teams
Posted by Pilot Tiger
North Carolina
Member since Nov 2005
74069 posts
Posted on 8/3/26 at 4:15 pm to
If LSU partners with private equity, it will be a huge risk for Dr. Rouse.

His email described what would be some "first of its kind" and potentially revolutionary deal.

This would be a wet fart and forever tarnish his reputation and word
Posted by 225Tyga
Member since Oct 2013
19922 posts
Posted on 8/3/26 at 4:17 pm to
Will be interesting to hear what comes from this!

Since my original comment was deleted even tho it didn’t violate any rules or guidelines
This post was edited on 8/3/26 at 7:48 pm
Posted by mjax57
Vinings, GA
Member since Mar 2012
5133 posts
Posted on 8/3/26 at 4:17 pm to
If true, people always say TS is corporate tickets. We will most likely be forced out of tickets with a PSL. The entire lower bowl will be corporate (even the end zones). Take it in while we can, because even the middle class will be priced out when PE starts looking at bottom lines.
This post was edited on 8/3/26 at 4:25 pm
Posted by Salviati
Member since Apr 2006
7908 posts
Posted on 8/3/26 at 4:24 pm to
quote:

I saw an investment proposal 2 weeks ago looking to raise $100M.private equity would get 9.5% stake in the athletic dept.
Utah sold 33% to Otro Capital for at least $100,000,000. That prices Utah sports at about $300 million. The deal is expected to raise $500 million for Utah, but the remaining $400 million comes from capital commitments made by a small, prominent group of Utah boosters who purchased smaller stakes alongside Otro Capital. (Unless the boosters share comes from the same 33%, which would price Utah sports at about $1.5 billion.) The details of the deal has not been disclosed.


If LSU was to sell a 9.5% stake for $100 million, that would price LSU sports at a little over $1 billion. Still seems low, but 9.5% is not a controlling interest. Such a deal would merely allow the private equity firm to recoup actual income on its investment; something that is not happening for current donors. It would not, however, let the private equity control LSU sports.
This post was edited on 8/3/26 at 4:28 pm
Posted by TexasTiger08
Member since Oct 2006
30500 posts
Posted on 8/3/26 at 4:27 pm to
quote:

Selling out something that effectively belongs to/has been financed by the people of the state for generations in order to pay multimillion dollar salaries to a bunch of teenage mercenaries who couldn't give a flying frick if the program burns to the ground once their 5 years are up is wrong on every possible level


Truth.

The special aspect of college athletics was that you felt a connection to the team. They played for YOUR school, in YOUR state. They walked the same halls as you.

That’s done. You’re right. Why care at that point?
Posted by Clockwatcher68
Youngsville
Member since May 2006
8229 posts
Posted on 8/3/26 at 4:28 pm to
quote:

Selling out something that effectively belongs to/has been financed by the people of the state for generations in order to pay multimillion dollar salaries to a bunch of teenage mercenaries who couldn't give a flying frick if the program burns to the ground once their 5 years are up is wrong on every possible level


If Louisiana politicians and lawyers huddled together to “revolutionize” college athletics finances, get a case of Kirkland popcorn at Costco and sit back and enjoy. They will come up with something to make private equity look like consumer utopia.
Posted by RemouladeSawce
Uranus
Member since Sep 2008
18454 posts
Posted on 8/3/26 at 4:31 pm to
Schools like Utah in desperation of being left behind the power program consolidation need PE money. We have no need of PE money. If we need money for something like a new arena it can come via conventional financing and without nonsense PE strings

Opening LSU up to formal private investment should be the end of certain administrators' careers
This post was edited on 8/3/26 at 4:59 pm
Posted by Salviati
Member since Apr 2006
7908 posts
Posted on 8/3/26 at 4:32 pm to
quote:

quote:

Selling out something that effectively belongs to/has been financed by the people of the state for generations in order to pay multimillion dollar salaries to a bunch of teenage mercenaries who couldn't give a flying frick if the program burns to the ground once their 5 years are up is wrong on every possible level
Truth.

The special aspect of college athletics was that you felt a connection to the team. They played for YOUR school, in YOUR state. They walked the same halls as you.

That’s done. You’re right. Why care at that point?
Posted by ThePoo
Work
Member since Jan 2007
61802 posts
Posted on 8/3/26 at 4:32 pm to
what if the formal investment is from LSU's top 40 donors
Posted by PP7 for heisman
New Orleans
Member since Feb 2011
10925 posts
Posted on 8/3/26 at 4:35 pm to
(no message)
This post was edited on 8/4/26 at 11:46 am
Posted by RemouladeSawce
Uranus
Member since Sep 2008
18454 posts
Posted on 8/3/26 at 4:36 pm to
quote:

what if the formal investment is from LSU's top 40 donors
Then they're no longer donors, they're investors. Likely increasingly meddling which is not what you want

Answer remains an easy no
Posted by CatfishJohn
Member since Jun 2020
21859 posts
Posted on 8/3/26 at 4:36 pm to
quote:

what if the formal investment is from LSU's top 40 donors



They could, theoretically, raise capital from top donors into a PE fund. Said PE fund then becomes investor in LSU athletics.

That would still suck, as they would have ownership/control to an extent, but it would suck less because boosters already control a lot of stuff and they'd actually want to win games as much as maximize profits.

ETA:

Still would suck, but would suck marginally less than some random outside PE firm.
This post was edited on 8/3/26 at 4:37 pm
Posted by Byrdybyrd05
Member since Nov 2014
26556 posts
Posted on 8/3/26 at 4:39 pm to
Posted by Salviati
Member since Apr 2006
7908 posts
Posted on 8/3/26 at 4:40 pm to
quote:

what if the formal investment is from LSU's top 40 donors
What if everyone who said "NIL deals aren't self-sustaining" was right?

What if everyone who asked "Why would donors, who get nothing back, continue to contribute?" was right?

What if the top donors wanted to get paid back a little in return for their contribution?

What if those donors only wanted a small minority share of a commercial joint venture with LSU that pools commercial operations like ticketing, licensing, sponsorships, and NIL sales into a separate for-profit entity?

What if LSU keeps full operational and athletic control, including decisions on coaching staffs and student-athletes?
Posted by RemouladeSawce
Uranus
Member since Sep 2008
18454 posts
Posted on 8/3/26 at 4:42 pm to
“This is going to give us a massive advantage over our rivals”

"Unless someone copies what we're doing, which could happen"

Dunno who that is posting but that's a fricking moron
This post was edited on 8/3/26 at 6:26 pm
Posted by ThePoo
Work
Member since Jan 2007
61802 posts
Posted on 8/3/26 at 4:43 pm to
quote:

They could, theoretically, raise capital from top donors into a PE fund. Said PE fund then becomes investor in LSU athletics.

That would still suck, as they would have ownership/control to an extent, but it would suck less because boosters already control a lot of stuff and they'd actually want to win games as much as maximize profits.


yes, this is how i see it

I am just trying to tie PE, the top 40 donors, and ground breaking financial plan together in some way

At least they would have a vested interest in LSU success outside of dollars (at least more than some outside PE group) and im under the impression that they meddle anyway

the true reason it sucks is because cfb is such that it has become necessary
This post was edited on 8/3/26 at 4:44 pm
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