Major League Baseball will soon allow investment funds to purchase small stakes in its clubs, Bloomberg reported. It’s a move that could let Wall Street firms, college endowments and high-net-worth individuals buy into the sport. One company that specializes in the business of sports, Galatioto Sports Partners, has already been reaching out to potential investors, Bloomberg reported.
MLB did not have a comment. Galatioto Sports Partners declined to comment about the report as well. But two sources close to the situation told CNN Business that MLB is starting to pitch the idea of letting funds buy stakes in teams.
The business of sports is notoriously fickle. Teams have to spend big to win big — and those that don’t often wind up with poor performance on the field and weak attendance.
Still, baseball team values have soared in recent years. The same is true for NFL and NBA teams. The reason is fairly simple: In the time-shifted content world we live in, where many watch shows on DVRs or on demand services, sports is one of the few examples of programming that people still make an appointment to watch live — including the commercials.
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