Kansas City Chiefs owner Clark Hunt discusses private equity investment in the NFL

Kansas City Chiefs owner Clark Hunt weighed in on the NFL’s newly introduced private equity investment program, calling it a “great new source of capital” for team owners.

Speaking with CNBC’s Alex Sherman ahead of Super Bowl Sunday, Hunt acknowledged that while the program is still in its early stages, it has already seen initial success.

The NFL approved private equity investment at the end of last year. Specifically, two transactions involving private equity-backed deals have already been completed. According to Hunt, more teams are actively exploring the option of bringing in private equity partners. He believes this new funding avenue will provide owners with greater flexibility, particularly for liquidity needs or capital investments, such as stadium development.

When asked whether he would consider selling a minority stake in the Kansas City Chiefs, Hunt did not rule out the possibility. However, he emphasized that it is not currently a priority for his family. “I won’t say never. It’s not something our family is focused on right now. But I do think just having more options from a liquidity standpoint is beneficial to everybody, including the Kansas City Chiefs,” Hunt stated.

As chair of the NFL’s Finance Committee, Hunt is closely involved in overseeing the implementation of private equity in the league. The introduction of private capital investment marks a significant shift in the financial landscape of professional football. This is because it offers owners alternative funding sources while maintaining control over their franchises. While Hunt remains focused on the long-term stability of the Chiefs, his comments suggest an openness to leveraging private equity as a financial tool in the future.

Source: CNBC

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