Los Angeles Lakers superstar LeBron James is expanding his power, and now he is part owner of a MLB franchise.
Fenway Sports Group just got powerful.
The parent company of the Red Sox and Liverpool Football approved a $750 million private investment to make RedBird Capital Partners Its third biggest partner. The information was confirmed by a source close to the group. This will also support FSG’s efforts to get more teams.
This agreement is contingent on Major League Baseball approval and it may take up to several weeks.
That’s not all. FGS has another partner, and LeBron was the perfect addition.
LeBron becomes part owner of MLB franchise
LeBron is one of the most recognizable athletes in the world. He is incredibly influental and rich. Now he is part owner of FSG shares. He owned about 2 percent share of the Liverpool soccer team since 2011.
The four-time NBA champion became a partner in FSG and he will also become a part-owner of the Red Sox and other FSG subsidiaries. This includes NESN, Roush Fenway Racing, and Fenway Sports Management.
LeBron has enough potential to boost the brand value of FSG properties. The RedBird’s investment will give FSG enough spending power to enhance the portfolio and add to its list of properties.
Maverick Carter became a FSG partner, too. He is LeBron’s longtime business partner and friend. LeBron and Carter are the first African-American partners in FSG history.
FSG has NFL and NBA teams on the shopping wish list. There’s also another European soccer club, NHL, MLS, WNBA, and NWSL teams. They have sports betting, esports, and data analytics companies.
The RedBird cash boost will give the NY-based fism a 11 percent stake of FSG. It will have an enterprise value of $7.35 billion. FSG will have $600 million-$700 million in debt. More than $600 million cash go out to existing partners.
FSG principal owner John Henry is retaining control of the Boston-based sports conglomerate. The governance remains unchanged among FSG chairman Tom Werner and FSG president Michael Gordon. Werner’s FSG stake is the second-largest. Gordon’s shared go to the fourth.