CVC's Global Sport Group Finalizes Major £2 Billion Deal with Pimco
CVC Capital Partners' newly established sporting division, Global Sport Group, is poised to announce a significant financial agreement with the asset management giant Pimco, which has strong ties to former UK Prime Minister Gordon Brown. According to reports from Sky News' Mark Kleinman, this deal involves substantial debt financing and is valued at approximately £2 billion, with expectations for finalization as early as this week.
Pimco's High-Profile Leadership and Global Influence
Pimco, a Wall Street behemoth managing around $2 trillion in assets, is chaired on its global advisory board by Gordon Brown, who served as UK Prime Minister from 2007 to 2010. The board also includes other notable figures such as former US Treasury Secretary Janet Yellen, former White House Chief of Staff Joshua Bolten, US national security expert Michele Flournoy, and former International Monetary Fund chief economist Raghuram Rajan. This prestigious lineup underscores Pimco's influential role in global finance and its strategic move into sports investments through this partnership.
Global Sport Group's Expanding Portfolio and Strategic Vision
Global Sport Group was specifically created to oversee CVC Capital Partners' extensive sports assets, which currently include stakes in prominent organizations like the Six Nations rugby tournament, Premiership Rugby, the United Rugby Championship, Volleyball World, LaLiga, the Women's Tennis Association, and Ligue 1 media rights. This new deal with Pimco represents a significant expansion of their financial capabilities, following a recent $300 million investment in Equine Network last month under the Global Sports Group banner.
In a statement regarding the Equine Network acquisition, CVC partner Gemma Wright highlighted the firm's long-term commitment to sports, noting, "CVC's investment experience in sports spans over twenty years and, while much has changed in that time, sports intellectual property remains a very attractive opportunity in which we continue to see significant potential for further innovation and growth." This sentiment aligns with Global Sport Group's ongoing efforts to enhance its portfolio, including a recent £2.35 billion debt refinancing process launched last month under the leadership of chairman Marc Allera, a former BT executive.
Future Prospects and Market Speculation
While Global Sport Group continues to grow its assets, it is important to note that a CVC-held stake in the Indian Premier League franchise, the Gujarat Titans, is not part of this group. CVC is expected to complete a full sale of the team, having relinquished control in recent seasons. Looking ahead, industry observers suggest that CVC might next explore opportunities in US sports markets, potentially broadening its international reach and influence in the competitive world of sports investments.
This deal with Pimco not only strengthens Global Sport Group's financial foundation but also positions it as a key player in the global sports industry, leveraging high-level connections and substantial capital to drive innovation and growth in sports media and entertainment.
