Apollo Sports Capital is expanding its portfolio by adding a minority stake in the New York Yankees to its investments in Atletico Madrid and Wrexham AFC.
The deal, which is reported to be close to completion, would also give Apollo an interest in AC Milan, New York City FC and media and hospitality businesses.
Apollo is said to be acquiring eight per cent of Yankee Global Enterprises, the parent company of the baseball team, at a valuation in excess of $12bn.
According to some accounts, Apollo would also receive preferred shares that will convert into a further eight per cent of equity in 2030.
The Steinbrenner family, Major League Baseball’s longest running owners, will remain majority shareholders in YGE and the Yankees.
Apollo Sports Capital – an offshoot of Apollo Global Management, one the largest private equity giants – launched last year with around $6bn in capital.
Since then it has closed a deal for a majority stake in Atletico Madrid, Spanish football’s third biggest team, and a minority holding in Wrexham, the Welsh club revived by Hollywood stars Ryan Reynolds and Rob Mac via reality TV.
Apollo Global Management has interests in tennis tournaments the Madrid Open and Miami Open, Mexican top-flight football league Liga MX, and stadium developments.
YGE’s portfolio also includes US regional sports network YES and global venue operator Legends Hospitality.
Apollo’s $2.6bn financing deal with Yankees owner
It comes just weeks after Apollo agreed a $2.6bn financing deal with YGE in a move that saw ASC CEO Al Tylis join the board of the parent company.
YGE chairman Hal Steinbrenner said last month: “We welcome Apollo to the Yankees family. We are continually seeking ways to strengthen our positioning, and this partnership allows us to explore pursuing strategic opportunities. We look forward to a successful working relationship.”
Tylis added: “The New York Yankees are one of the most iconic franchises in sports, defined by a legacy of greatness. It is a privilege for Apollo Sports Capital to partner with the Yankees, and we are grateful to the Steinbrenner family for their trust.
“We look forward to supporting the organization’s continued pursuit of excellence and the championship standard that has long been the hallmark of the New York Yankees.”
Apollo partner Robert Givone, said: “This is precisely the kind of bespoke capital solution Apollo Sports Capital was built to deliver, and we look forward to being a long-term partner to this storied franchise.”
