Fox is looking for around $150-$200 million from outside investors (team owners)

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herns
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Fox is looking for around $150-$200 million from outside investors (team owners)

Post by herns »

GDAWG
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Re: Fox is looking for around $150-$200 million from outside investors (team owners)

Post by GDAWG »

Hopefully the owners are vetted and it's not anyone. Also nobody with Crypto should own any teams in any leagues, USFL included.
herns
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Re: Fox is looking for around $150-$200 million from outside investors (team owners)

Post by herns »

GDAWG wrote: Tue Jun 28, 2022 2:49 pm Hopefully the owners are vetted and it's not anyone. Also nobody with Crypto should own any teams in any leagues, USFL included.
I wouldn’t say if you own crypto that you can’t own a team but owners Definitley should be vetted. The investment company says they’ve got clients who have been trying to get into pro football for awhile so it maybe a reasonably fast process
GDAWG
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Re: Fox is looking for around $150-$200 million from outside investors (team owners)

Post by GDAWG »

herns wrote: Tue Jun 28, 2022 2:50 pm
GDAWG wrote: Tue Jun 28, 2022 2:49 pm Hopefully the owners are vetted and it's not anyone. Also nobody with Crypto should own any teams in any leagues, USFL included.
I wouldn’t say if you own crypto that you can’t own a team but owners Definitley should be vetted. The investment company says they’ve got clients who have been trying to get into pro football for awhile so it maybe a reasonably fast process
The owners should be vetted because if they are not, it could be like the indoor leagues in which teams fold left and right due to instability of the owners.

My ideal owners:

Birmingham Stallions- Owners of Birmingham Legion FC
Houston Gamblers- I have no idea since I can't see Houston keeping both the Gamblers and Roughnecks.
Michigan Panthers- Tom Gores, the owner of the Detroit Pistons
New Orleans Breakers- ?
New Jersey Generals- Josh Harris, owner of New Jersey Devils. Could also buy the Stars if he wanted to. But he might be interested instead in NFL ownership with the Commanders or Seahawks.
Philadelphia Stars- Harris or Comcast Spectator
Pittsburgh Maulers- ?
Tampa Bay Bandits- Jeff Vinik, owner of Tampa Bay Lightning

Not likely to happen but who knows. That's how I would do it if I vetted the owners and if they were interested.
4th&long
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Re: Fox is looking for around $150-$200 million from outside investors (team owners)

Post by 4th&long »

Here's the direct link to the story...
https://nypost.com/2022/06/28/foxs-usfl ... %20buttons

This goes back to rumors we heard in fall 2021. Also they are looking for Minority investors IN THE LEAGU, it appears- so Fox would maintain majority control.


>> The Fox Sports-owned United States Football League has hired investment bank Allen & Co. to find minority investors to help fund the league’s expansion, three sources with knowledge of the situation said.

Fox is turning to Allen & Co., which just advised the Denver Broncos on its record $4.65 billion sale to Walmart heir Rob Walton. Fox’s plan is to raise between $150 million and $200 million, two sources said.

Allen & Co. knows parties who have shown recent investor interest in football, and is looking for investors who can help Fox run the league, sources said.

“Fox has a longstanding relationship with Allen & Co., and they have advised us on setting up the financial structure of the league which sets the USFL up for future growth as we head into the 2023 season and beyond,” a Fox spokesman said, declining to comment on the current assignment.

“This is a costly venture to get off the ground,” a source said.

Fox plans to keep the league going next year even if it cannot find the right investor, sources said, and is controlling costs by using some of Fox’s infrastructure, including its marketing team.

USFL games have been sparsely attended, but ratings this first season on Fox, NBC and the USA networks were higher than the more established Major League Soccer or even US broadcasts of the English Premier League, the source said.

With MLS franchises now worth about $400 million each, the math goes that the USFL with its eight teams could be worth at least $3.2 billion a few years down the road.
USFL football

Sportico reported June 22 that the 10-week USFL broadcasts averaged 695,000 viewers a game which was much better than the 295,000 who watched MLS on the ESPN channels, according to Nielsen data. NBC’s broadcasts of Premier League games averaged 507,000 viewers.

“The valuation is in the eye of the beholder,” a source familiar with the process said. “There is no direct comp.”
<<

I hardly think the USFL teams are worth $400mm but could they get $40-75mm depending on market? Sure.

First Take:
Fox needed to show investors it was committed to the league. Year 1 accomplished that. They are running this like a business. It will be interesting to see with the Stock Markets losing over $5-6 trillion and a potential recession coming if they can get that investment. Which is why RBC would be wise to look at working with Fox and vice versa.

Is this aggressive to flank XFL? Optimistic to tap into a potential windfall while minimizing their own risk? Defensive to offset XFL? Or just the next logical step up the ladder? Something else? Or a mix of some or all?

Thoughts?
herns
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Re: Fox is looking for around $150-$200 million from outside investors (team owners)

Post by herns »

4th&long wrote: Tue Jun 28, 2022 3:21 pm Here's the direct link to the story...
https://nypost.com/2022/06/28/foxs-usfl ... %20buttons

This goes back to rumors we heard in fall 2021. Also they are looking for Minority investors IN THE LEAGU, it appears- so Fox would maintain majority control.


>> The Fox Sports-owned United States Football League has hired investment bank Allen & Co. to find minority investors to help fund the league’s expansion, three sources with knowledge of the situation said.

Fox is turning to Allen & Co., which just advised the Denver Broncos on its record $4.65 billion sale to Walmart heir Rob Walton. Fox’s plan is to raise between $150 million and $200 million, two sources said.

Allen & Co. knows parties who have shown recent investor interest in football, and is looking for investors who can help Fox run the league, sources said.

“Fox has a longstanding relationship with Allen & Co., and they have advised us on setting up the financial structure of the league which sets the USFL up for future growth as we head into the 2023 season and beyond,” a Fox spokesman said, declining to comment on the current assignment.

“This is a costly venture to get off the ground,” a source said.

Fox plans to keep the league going next year even if it cannot find the right investor, sources said, and is controlling costs by using some of Fox’s infrastructure, including its marketing team.

USFL games have been sparsely attended, but ratings this first season on Fox, NBC and the USA networks were higher than the more established Major League Soccer or even US broadcasts of the English Premier League, the source said.

With MLS franchises now worth about $400 million each, the math goes that the USFL with its eight teams could be worth at least $3.2 billion a few years down the road.
USFL football

Sportico reported June 22 that the 10-week USFL broadcasts averaged 695,000 viewers a game which was much better than the 295,000 who watched MLS on the ESPN channels, according to Nielsen data. NBC’s broadcasts of Premier League games averaged 507,000 viewers.

“The valuation is in the eye of the beholder,” a source familiar with the process said. “There is no direct comp.”
<<

I hardly think the USFL teams are worth $400mm but could they get $40-75mm depending on market? Sure.

First Take:
Fox needed to show investors it was committed to the league. Year 1 accomplished that. They are running this like a business. It will be interesting to see with the Stock Markets losing over $5-6 trillion and a potential recession coming if they can get that investment. Which is why RBC would be wise to look at working with Fox and vice versa.

Is this aggressive to flank XFL? Optimistic to tap into a potential windfall while minimizing their own risk? Defensive to offset XFL? Or just the next logical step up the ladder? Something else? Or a mix of some or all?

Thoughts?
This is actually very similar to what redbird is supposedly wanting to do with xfl, I still think the two leagues are more alike than we all originally thought and neither big financial backer (redbird or fox) wants to pump hundreds of millions into it without first establishing a potential path to making it self sustaining and eventually profitable
4th&long
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Re: Fox is looking for around $150-$200 million from outside investors (team owners)

Post by 4th&long »

herns wrote: Tue Jun 28, 2022 4:06 pm
4th&long wrote: Tue Jun 28, 2022 3:21 pm Here's the direct link to the story...
https://nypost.com/2022/06/28/foxs-usfl ... %20buttons

This goes back to rumors we heard in fall 2021. Also they are looking for Minority investors IN THE LEAGU, it appears- so Fox would maintain majority control.


>> The Fox Sports-owned United States Football League has hired investment bank Allen & Co. to find minority investors to help fund the league’s expansion, three sources with knowledge of the situation said.

Fox is turning to Allen & Co., which just advised the Denver Broncos on its record $4.65 billion sale to Walmart heir Rob Walton. Fox’s plan is to raise between $150 million and $200 million, two sources said.

Allen & Co. knows parties who have shown recent investor interest in football, and is looking for investors who can help Fox run the league, sources said.

“Fox has a longstanding relationship with Allen & Co., and they have advised us on setting up the financial structure of the league which sets the USFL up for future growth as we head into the 2023 season and beyond,” a Fox spokesman said, declining to comment on the current assignment.

“This is a costly venture to get off the ground,” a source said.

Fox plans to keep the league going next year even if it cannot find the right investor, sources said, and is controlling costs by using some of Fox’s infrastructure, including its marketing team.

USFL games have been sparsely attended, but ratings this first season on Fox, NBC and the USA networks were higher than the more established Major League Soccer or even US broadcasts of the English Premier League, the source said.

With MLS franchises now worth about $400 million each, the math goes that the USFL with its eight teams could be worth at least $3.2 billion a few years down the road.
USFL football

Sportico reported June 22 that the 10-week USFL broadcasts averaged 695,000 viewers a game which was much better than the 295,000 who watched MLS on the ESPN channels, according to Nielsen data. NBC’s broadcasts of Premier League games averaged 507,000 viewers.

“The valuation is in the eye of the beholder,” a source familiar with the process said. “There is no direct comp.”
<<

I hardly think the USFL teams are worth $400mm but could they get $40-75mm depending on market? Sure.

First Take:
Fox needed to show investors it was committed to the league. Year 1 accomplished that. They are running this like a business. It will be interesting to see with the Stock Markets losing over $5-6 trillion and a potential recession coming if they can get that investment. Which is why RBC would be wise to look at working with Fox and vice versa.

Is this aggressive to flank XFL? Optimistic to tap into a potential windfall while minimizing their own risk? Defensive to offset XFL? Or just the next logical step up the ladder? Something else? Or a mix of some or all?

Thoughts?
This is actually very similar to what redbird is supposedly wanting to do with xfl, I still think the two leagues are more alike than we all originally thought and neither big financial backer (redbird or fox) wants to pump hundreds of millions into it without first establishing a potential path to making it self sustaining and eventually profitable
But we don't know the finances nor true ownership of the XFL? Or the what the ESPN deal is? The XFL transparency is MUCH LESS that the USFL. The XFL does seem to be spending more upfront than the USFL. Will that payoff? Don't know.
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