CVC proposes US$800m and US$1bn investment in Big 12

Jun 18, 2024 | News | 0 comments

The Big 12 is reportedly considering welcoming private equity investment, as well as selling its naming rights to a title sponsor, according to several outlets in the US.

CBS was first to report that the US college sports conference was in talks with CVC Capital Partners over a potential injection of funds. The private equity firm is said to have offered between US$800 million to US$1 billion, in exchange for a stake in the Big 12 worth between 15 per cent and 20 per cent.

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A portion of the investment would be distributed directly to the 16 conference members, while the partnership would provide the Big 12 with access to CVC’s investment services and clients. While talks are ongoing, with a small working group of three college presidents already analysing the offer, others are said to be unconvinced of the investment firm’s pitch at this stage.

According to CBS, CVC believes the Big 12’s value and media rights has significant growth potential. The league’s current rights deal with ESPN and Fox is worth US$2.3 billion overall and will run until 2031.

The talks come amid reports that the conference is also considering selling its naming rights to a title sponsor. According to The Athletic, insurance company Allstate is viewed as the favourite to land the Big 12’s title sponsorship rights, with a deal potentially worth as much as nine figures.

The Big 12 distributed a record US$470 million to its 14 members in 2024, but its total payouts were considerably behind three other conferences in the Big Ten, the Southeastern Conference (SEC) and the Atlantic Coast Conference (ACC).

 

Source:Sports Media

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