Opinion: Private Equity will be a Disaster for College Sports

i don't know what this piece has to say since it's behind a paywall. and i'm just an interloper here. but the premise is false.

obviously, the devil's in the details. but this venture capital is about future earnings potential of the b12 conference, not the past. the investor looks at the portfolio and says: relative to its peers, this conference is substantially undervalued. i can invest in it and make better than bank rates and other investment alternatives.

how you say? well basketball is clearly worth more than they're getting for it. that needs to separate from football as a standalone entity and be marketed accordingly. football has added some undervalued entities, four of them. but they need to add more, like fsu and clemson. why not buy them as conference additions?

this is a good place for a long term investment. down the road i can sell my 15% share for way more than $1 billion i'm investing. and in the interim gather dividend income that beats bank rates.

That's a good overview.

Given how things have changed in the world of college sports, I think getting some pure, unabashed strategic capitalists with a solid rolodex involved would likely help the conference quite a bit.

this private equity firm isn't here to payoff uofa debts. they're here to grow the business and sell off their share for a tidy profit. that's what p.e. firms do.