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UConn Athletics
Conference Realignment Board
The Private Equity College Sports Hellscape Thread
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[QUOTE="UConnJim, post: 5048836, member: 1559"] I am a finance guy and I've been trying to figure out how PE can work in college athletics and I have come up with some potential ideas. For example, could you invest $10 million in a football program and create $15 million in value? For UConn, say you invested $2.5 million per year over 4 years in football NIL, would UConn get a return through higher ticket sales, improved media deal, and perhaps an offer from a P4 conference? If you look at the schools that have been invited up to P4 conferences, they invested in football, primarily through donation or cutting investment in other sports and it created significant value. It's always puzzled me why UConn didn't invest in football back in 2011/2012. Think about this: PP made about as much as Mora as head coach 10 years later. There is no P4 college football program that is paying their head coach about the same amount as they did 10 years ago. If the Big 12 got a $100 million PE investment and the Big 12 used it to to grab FSU and Clemson from the ACC, would the Big 12 get a return through higher ticket sales, more college playoff revenues, and perhaps a better media deal? If spending $100 million resulted in a new media deal that paid each school $5 million per year more, $90 million per year, you make that investment as that is an incredible return. You could pay back the PE $100 million plus say 15% per year. If PE gets involved in college athletics, I would think the Big 12 is where it will happen as they want to be perceived as the 3rd best conference and they seem to be risk takers and they can get there if they invest. [/QUOTE]
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The Private Equity College Sports Hellscape Thread
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