A-Rod Invests in Fight Promoter PFL, Joins Board of Directors
Alex Rodriguez has put his money behind all kinds of ventures since transitioning away from baseball and into investment.
May 19, 2022 at 01:11 PM
3 minute read
Former baseball star Alex Rodriguez is investing in the Professional Fighters League and joining the mixed-martial-arts fight promoter's board of directors as the company looks to enter new markets and start a new pay-per-view operation.
The funding round values the PFL at $500 million, according to the league. Private equity firm Waverley Capital Partners, headed by former top Warner Music executive Edgar Bronfman, led the $30 million round. Existing investors include Ares Capital Corp., Elysian Park Ventures, football legend Ray Lewis, rapper Wiz Khalifa and sports-team owners Ted Leonsis and Mark Lerner.
Competition in the MMA industry is heating up as the sport grows globally. Last year, Endeavor Group Holdings Inc. acquired the remaining stake in the Ultimate Fighting Championship, the biggest MMA promoter in the U.S. Rival One Championship, which was valued at more than $1 billion in January and backed by sovereign wealth funds in Singapore and Qatar, signed a five-year distribution deal with Amazon.com Inc. in April and said it would begin holding events in the US in 2023.
The PFL has signed shorter-term two-year deals in many markets, including one in the U.S. with Walt Disney Co.'s ESPN that runs through 2023, and has media agreements with the likes of DirecTV in Latin America and Channel 4 in the U.K. Unlike traditional fight promoters, the PFL hosts a standard sports calendar, with regular-season matchups and playoffs culminating in world-championship bouts.
This fresh capital brings the PFL's total funding to about $200 million. Founder and Chairman Donn Davis said in an interview that this round was small because the business is nearing profitability and the cash will be used for growth instead of operations.
Management will invest in business abroad and start a new "Super Fight" division, separate from its season format. In a new version of the classic pay-per-view model, fighters will get 50% of the revenue from their matches. Its first signing is Kayla Harrison, an undefeated featherweight, and Davis will look to lure more top names in the coming months.
"Media wants more, fans want more and fighters need more outlets," Davis said. "The world is big enough for more than one winner."
Rodriguez has put his money behind all kinds of ventures since transitioning away from baseball and into investment. Over the past year, he has backed an app looking to become a "stock market" for fans of professional athletes, an online brokerage business and a fusion-power startup. His special purpose acquisition company, Slam Corp., has yet to announce a target.
The former New York Yankees great made his biggest splash last year when he and former Walmart Inc. executive Marc Lore signed a $1.5 billion deal for a controlling stake in the NBA's Minnesota Timberwolves and the WNBA's Lynx.
As a board member at the PFL, Rodriguez will use his "network and platform" to find ways to support the league's growth, he said. He has been courting advice from some of the world's top business leaders since retiring, working primarily out of his office in Miami.
"Sports leagues are really media and content companies," Rodriguez said. "There is massive demand among fans for the world's best fighters, and room for everyone in this category."
Kim Bhasin reports for Bloomberg News.
NOT FOR REPRINT
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
You Might Like
View AllBig Law Leaders, Dealmakers Optimistic About M&A Deal Flow Under Trump, With Caveats
5 minute readDeal Watch: Are Only 'A Handful' of Law Firms Positioned Well After Citi-Apollo Partnership?
5 minute readLawyers Eye Expected Rate Cut, Expecting Large Cap M&A Boost as a Result
4 minute readAfter Unanticipated Slow Start of Year, Law Firms Are Left Waiting For M&A Rebound
3 minute readLaw Firms Mentioned
Trending Stories
- 1The State of Cost Recovery — Post COVID
- 2Why Is It Becoming More Difficult for Businesses to Mandate Arbitration of Employment Disputes?
- 3The Whys and Hows of a Mediator’s Proposal
- 4Litigators of the Week: A Trade Secret Win at the ITC for Viking Over Promising Potential Liver Drug
- 5Litigator of the Week Runners-Up and Shout-Outs
Who Got The Work
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Who Got The Work
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Who Got The Work
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
Who Got The Work
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Who Got The Work
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
Featured Firms
Law Offices of Gary Martin Hays & Associates, P.C.
(470) 294-1674
Law Offices of Mark E. Salomone
(857) 444-6468
Smith & Hassler
(713) 739-1250