Las Vegas Raiders owner Mark David before a preseason game between the Dallas Cowboys and the Las Vegas Raiders at AT&T Stadium in Arlington, Texas, on August 26, 2023. Si walked off the field with former NFL quarterback Tom Brady.
Matthew Pearce | Illustrated Sports Wire | Getty Images
NFL owners on Tuesday approved Tom Brady becoming a minority owner of the Las Vegas Raiders, a person familiar with the matter told CNBC.
The seven-time Super Bowl champion bought about 10% of the Raiders with his business partner, the founder of Knighthead Capital Tom Wagner.
The NFL’s 32 team owners unanimously signed the agreement at a league meeting in Atlanta, the person told CNBC. Brady and Wagner did not attend the meeting, according to people familiar with the matter.
The price for Brady’s stake purchase is unclear. But CNBC’s official 2024 NFL team valuations rank the Raiders as the NFL’s fifth most valuable team, worth $7.8 billion.
The Raiders’ value has been climbing since the team relocated from Oakland in 2020.
Revenue has increased significantly since the team moved to Las Vegas and moved to its new stadium. According to CNBC’s valuation, the Raiders’ revenue in 2023 will be $780 million, ranking third in the league, and EBITDA will be $115 million.
While Allegiant Stadium is one of the smallest stadiums in the NFL with 65,000 seats, the Raiders make up for it by charging the highest ticket prices in the league, according to previous reports from CNBC. The average ticket price last season was $169.
Allegiant Stadium, operated by the Raiders, also hosts many non-NFL events throughout the year, which generates additional revenue for the team. In 2023, the Raiders generated more than $50 million in revenue from concerts and other events such as college football.
Brady began bidding for part of the team in May 2023, but because some owners believed The initial offer was too discounted.
After Brady first retired from the NFL, he signed a 10-year, $375 million broadcast deal with Fox Sports in 2022. There are restrictions About how he covers the team.
For example, Brady will be allowed to broadcast Raiders games, but he will not be allowed to participate in live or online production meetings. He may also lose access to team facilities, players and coaches.
Brady will also abide by league rules that prohibit public criticism of officials and other clubs.
The five-time Super Bowl MVP is no stranger to the Las Vegas sports world. He is also a minority shareholder in the company Women’s National Basketball Association Las Vegas AcesLike the Raiders, the team is owned by Mark Davis.
Brady will become the third former NFL player to become a team owner.
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