• Loading stock data...
Saturday, November 2, 2024
The Best Employers in Sports survey is open through Nov. 6 Learn More

CVC, HPS to Invest In Authentic Brands at $12.7B Valuation

  • Authentic Brands Group is postponing its IPO to 2023 or 2024.
  • It has agreed to a significant investment from two private equity firms.
Reebok/Design: Alex Brooks

Sports Illustrated owner Authentic Brands Group is postponing an IPO to raise capital from two private equity firms instead.

CVC Capital Partners and HPS Investment Partners are buying significant equity stakes in Authentic Brands at a valuation of $12.7 billion.

Authentic Brands owns apparel and equipment brands like Airwalk, Prince Sports, Tapout, and Volcom, as well as fashion brands including Nine West, Juicy Couture, Brooks Brothers, Aeropostale, and Barneys New York.

It will close its acquisition of Reebok in Q1 2022, bringing its total annual retail sales to $20 billion, according to the companies.

With $125 billion in assets under management, CVC has been aggressive in searching out sports investments.

  • In October, CVC and conglomerate RPSG paid a combined $1.7 billion for two new Indian Premier League teams.
  • In August, it reached an agreement with La Liga on a deal worth over $3 billion that would garner 11% of the league’s media revenue for 50 years.
  • It has also invested $508.5 million in Six Nations Rugby, $300 million in International Volleyball Federation, and $169 million in the United Rugby Championship.

HPS manages $75 billion in assets, focusing on strategies such as direct lending, real estate, energy and power, and small-to-mid-size European businesses.

A BlackRock fund will remain Authentic Brands’ largest shareholder, while existing shareholders, including Shaquille O’Neal, will retain large stakes. It will target an IPO in 2023 or 2024.

Linkedin
Whatsapp
Copy Link
Link Copied
Link Copied

What to Read

Sep 28, 2024; Tuscaloosa, Alabama, USA; GOP Presidential candidate Donald Trump waves flanked by former Georgia Bulldogs player Herschel Walker, recording art Kid Rock, professional golfer John Daily, Alabama senators Tommy Tuberville (R) and Katie Britt (R) during the second half of the game between the Alabama Crimson Tide and the Georgia Bulldogs at Bryant-Denny Stadium.

Mission Swing State: College Football’s Political Advertising Battle

Trump, Harris, and the PACs that support them are utilizing the sport.

The Untapped Revenue ‘Powder Keg’ of Women’s NFL Fandom

There’s a “boatload” of money at stake for brands and the league.
Oct 19, 2024; Gainesville, Florida, USA; Florida Gators quarterback DJ Lagway (2) shakes hands while entering the locker room after a game against the Kentucky Wildcats at Ben Hill Griffin Stadium.

NIL Director Is the Trendy New Job in College Sports. But the Role Is Chaos

Athletic departments nationwide are hiring for what’s become their most important position.
FuboTV signage
opinion

Fubo’s Fight Against Streaming Giants Feels Futile

Fubo notched a legal win, but subs and stock still slump.
podcast thumbnail mobile
Front Office Sports Today

First-Ever 12-Team CFP Takes Shape

0:00

Featured Today

Inside The Wall at L.A. Clippers’ New $2B Home

FOS went inside the “contagious” energy at the L.A. Clippers’ Intuit Dome.
Sep 29, 2024; Brooklyn, New York, USA; New York Liberty guard Sabrina Ionescu (20) shoots a three point jump shot over Las Vegas Aces center A'ja Wilson (22) during game one of the 2024 WNBA Semi-finals at Barclays Center.
October 25, 2024

WNBA Facing 4 Big Business Questions This Offseason

Here’s where the WNBA can consider making upgrades after a historic year.
Oct 8, 2024; New York City, New York, USA; New York Mets first baseman Pete Alonso (20) celebrates in the dugout after hitting a solo home run with New York Mets pitcher Luis Severino (left) and pitcher Jose Quintana (right) in the second inning against the Philadelphia Phillies during game three of the NLDS for the 2024 MLB Playoffs at Citi Field.
October 24, 2024

OMG: Indie Designers Cashed In on the Most Gimmicky Mets Season Ever

The Mets’ meme-laden season lives on well beyond their playoff run.
Feb 14, 2024; Dallas, Texas, USA; San Antonio Spurs center Victor Wembanyama (1) looks to move the ball past Dallas Mavericks guard Luka Doncic (77) during the fist quarter at the American Airlines Center.
October 22, 2024

The NBA’s First Billion-Dollar Player Is Inevitable. Who Is He?

More than one player could pass the threshold by 2034.
Oct 27, 2024; Seattle, Washington, USA; Buffalo Bills quarterback Josh Allen (17) passes against the Seattle Seahawks during the second quarter at Lumen Field.

Buffalo Bills in Talks to Sell Stake to PE Firm Arctos: Report

Arctos already has a slice of Paris Saint-Germain and the PGA Tour, among other assets.
May 24, 2024; Minneapolis, Minnesota, USA; Dallas Mavericks owner Mark Cuban celebrates after defeating the Minnesota Timberwolves in game two of the western conference finals for the 2024 NBA playoffs at Target Center.
October 9, 2024

Why Mark Cuban Sold the Dallas Mavericks When He Did

Cuban sold his majority stake to the Adelson family in December 2023.
Jul 7, 2021; Tampa, Florida, USA; Tampa Bay Lightning owner Jeff Vinik hoists the Stanley Cup after the Lightning defeated the Montreal Canadiens 1-0 in game five to win the 2021 Stanley Cup Final at Amalie Arena.
October 25, 2024

Lightning Sell at $1.8B Valuation, Nearly Double Prior NHL Record

The Lightning unveiled a multistep and multiyear sale process.
Sponsored

World Series Delivers High-Demand Marquee Matchup

The hype around the World Series matchup drove ticket prices to record levels—but the Dodgers’ dominance quickly quieted the fervor.
Young fans look over Michigan State sports equipment on display during the Spring Showcase on Saturday, April 20, 2024, at Spartan Stadium in East Lansing.
October 2, 2024

Private Equity Firms Buy Rival Hockey Brands CCM and Bauer

Both brands have been around for decades and changed ownership in the same week.
September 18, 2024

Rogers Tightens Grip on Canadian Sports With $3.46B MLSE Stake

The Blue Jays owner makes a big move to corner most of the Toronto pro sports market.
Fans watch TV screens during a game viewing party for fans at the FanDuel Sportsbook at Meadowlands Racing & Entertainment in East Rutherford, New Jersey.
September 18, 2024

FanDuel Parent Buys Italian Gambling Company in Bid for Growth

Flutter is making big moves in Italy and Brazil.
September 12, 2024

Team USA’s Uniform Maker Is Shooting for a Long-Term Win

This week’s uniforms are honoring the Armed Forces.