The Big Ten Conference is evaluating interest from private equity firms, a move that marks a potential shift from the basketball leagues past resistance to outside investment in college sports, according to a report from Sportico on Thursday.
Investment bank Evercore, which was previously retained by the Big Ten, has begun fielding initial offers from private equity firms, sources told Sportico. While a Big Ten spokesperson confirmed these inquiries, they declined to provide further details.
In an email statement to Sportico, the Big Ten spokesperson said: “To better support its 18 member institutions, the conference is evaluating potential strategic partnerships in order to enhance the conference’s event, sponsorship, and other ancillary business endeavours.”
This development comes despite Big Ten Commissioner Tony Petitti’s prior opposition to private equity involvement in college athletics. He previously aligned with Southeastern Conference (SEC) Commissioner Greg Sankey in rejecting such investments when Big Ten and SEC leaders met last October in Nashville. However, the two conferences are set to reconvene next month in New Orleans, where private equity discussions could resurface.
As of now, no major college athletic conferences have accepted private equity investments, though the Big 12 explored the possibility last year, according to a report from CBS Sports. The landscape could shift dramatically if the House v NCAA lawsuit, expected to be finalised this spring, leads to changes in athlete compensation.
The landmark case could allow colleges to directly share revenue with athletes and would allocate approximately $2.8bn to former athletes who were not compensated for their name, image, and likeness (NIL) rights. Such a ruling could increase financial pressures on major conferences, potentially making private equity funding more appealing.
The Big Ten generated $880m in revenue in 2023, the highest among all college conferences, according to Sportico. This was also the first year of the conference’s seven-year, $7bn media rights deal with CBS, Fox, and NBC.
