Gli investimenti del private Equity nel settore dello sport: L'evoluzione del caso Manchester United

The subsequent debate is wholly engaged in analyzing private equity investments in the sports sector, with a magnifying glass on the football world. Private Equity firms have played the role of major actors in the global financial landscape, demonstrating a climbing interest in the sports industry recently. Sports teams are acquired or invested in by PE companies with billions and even trillions as AUM . Globally speaking, more than two out of three NBA teams ordinarily have financial injections by private equity funds, which have recently been allowed to own minority stakes in all major U.S. league teams, except for the NFL. In Europe, slightly more than 30% of soccer teams have been financed through capital from PE, VC realities, sovereign wealth funds and/or private consortiums. Before going more in-depth, by eviscerating this investment trend, the first chapter depicts a generalized overview of the private equity industry, from its beginnings to the present day, capable of illustrating the framework and the core operations of a private equity fund as well as the key metrics and exit strategies analysis of private equity investments. Furthermore, a pivotal point in history has been represented by COVID-19, during which private equity firms attempted to adjust to the immense and increasing uncertainty that this historic period brought, looking for alternative ways to salvage their businesses and placing fresh bets on fostering new trends. Consequently, investments in healthcare, energy, and real estate have vertiginously grown to the detriment of domains such as hospitality and travel, originally interest spots for private equity funds. The second chapter argues the specific prospects the sports sectors provide to private equity funds. All the miscellaneous reasons will be discussed for which these funds from the gigantic footprints have decided to dive into this sector, in which uncertainty and precariousness prevail unperturbed. Several will be the potential answers to the previous question in the chapter, from the industry expansion itself, the size of its fan base together with the passion that fuels them, the various revenue streams, and the prospects for the worldwide expansion of a brand. Private equity firms generally provide debt or capital in exchange for a share in a newly formed management company or a joint venture vehicle that the interested sports organization creates to oversee the business's commercial and strategic aspects, or they directly purchase a majority stake (as is the case with Chelsea Football Club and AC Milan) to oversee the entire enterprise. Finally, in the third chapter, the takeover of Manchester United occurred in 2005, when the Glazer family acquired Manchester United for 796 million pounds through an LBO 3. We will walk through its main components and the financial and non-financial outcomes this specific business operation.