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Oakland A’s shop $500M minority stake in deal that values Vegas-bound team at $2B: sources

Oakland A’s shop $500M minority stake in deal that values Vegas-bound team at $2B: sources


This article was originally published on NY Post - Business. You can read the original article HERE

Billionaire Oakland A’s owner John Fisher is looking to cash in on the team’s move to Las Vegas by selling off a minority stake that values the franchise at $2 billion — a whopping 66% increase from its most recent valuation, The Post has learned.

Fisher — an heir to The Gap clothing empire co-founded by his parents, Donald and Doris Fisher — plans to start shopping a 25% chunk of the team with a price tag of $500 million in the coming days, two sources close to the situation told The Post.

Oakland A’s Owner John Fisher may be getting the last laugh. Getty Images for Bally's Corporation and the Athletic

Before the start of the 2024 season, the small-market team was worth only $1.2 billion, according to an assessment of team valuations conducted by Forbes. Only the Florida Marlins had a lower valuation at $1 billion.

However, Fisher expects a revenue boom when the A’s move into a new, taxpayer-subsidized ballpark on the Las Vegas Strip.

“He’ll say the 45 million Vegas tourists a year are looking for attractions and many will want three hours of baseball entertainment,” Mark Rosenberg, a professor of Sports Management at the University of Michigan, told The Post.

The A’s also got the nine-acre plot to build their 33,000-seat domed stadium on the former site of the Tropicana Hotel for free in a development deal with Bally’s.

The casino giant imploded the famed home to Vegas acts like the Rat Pack and Siegried & Roy earlier this month. The land is valued at around $200 million.

It will take about three years to build to the stadium.

Fisher believes the value of the A’s rose 66 percent by moving to Vegas.

Fisher, whose net worth is estimated at $3.1 billion by Forbes, will chip in just $850 million toward the $1.5 billion construction tab, with Nevada lawmakers reportedly agreeing to pay $350 million. The team is expected to borrow an additional $300 million.

Major League Baseball didn’t charge Fisher a relocation fee, a rare accommodation, which could have cost $1 billion, The Post reported exclusively.

“This move looks like the second best baseball deal of the year,” Rosentraub quipped, putting it only behind the Yankees trade for Juan Soto that has helped the Bronx Bombers reach the World Series.

Oakland A’s fans rallied on March 28 to keep the team with their colorful history in Oakland. AP

The A’s will play in Sacramento while waiting to move into their Vegas ballpark for the 2028 season.

Fisher is working with investment bank Galatioto Sports Partners to advise on the process of selling the minority stake, the sources said.

The A’s didn’t immediately respond to requests for comment.

Galatioto Sports Partners declined to comment.

Dennis Eckersley with Rickey Henderson celebrating the 25th anniversary of the A’s 1989 World Series. Getty Images

Fisher was mercilessly booed by fans this season for not keeping the team in Oakland, which won four World Series titles, featured several Hall of Famers including Rickey Henderson and Dennis Eckersley and made “Moneyball” famous before he bought the team for $180 million in 2005.

Two other MLB teams on the market could factor into how much Fisher is able wrangle for a stake in the A’s.

The Chicago White Sox, who broke the 1962 Mets’ futility record with worst season of all time — are considering a full sale at a $2 billion valuation. The Minnesota Twins are also seeking a buyer and are estimated to be worth between $1.5 billion and $2 billion.

This article was originally published by NY Post - Business. We only curate news from sources that align with the core values of our intended conservative audience. If you like the news you read here we encourage you to utilize the original sources for even more great news and opinions you can trust!

Read Original Article HERE



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