The New York Giants are putting a limited stake in the team on the market, they said Thursday night, with the process likely to set a record for an NFL franchise valuation.
The Giants are looking into the possibility of selling up to 10% of the team.
The Mara and Tisch families each own 50% of the Giants. John Mara and Steve Tisch have been in control of the organization on behalf of their families since the deaths of their fathers in 2005.
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The Giants, regarded as one of the most valuable sports teams in the world because of their history and the New York City market, have hired Moelis & Co. as their banker.
“The Mara and Tisch families have retained Moelis & Company to explore the potential sale of a minority, non-controlling stake in the New York Giants,” the team said in a statement. “There will be no further comment in regard to the process.”
Bob Tisch, Steve’s father, bought 50% of the Giants for approximately $75 million in 1991. Tim Mara, John’s grandfather, founded the team in 1925 for $500.
Though the reason for exploring a limited partner is not known, the timing comes after the NFL approved a policy in August that allows private equity firms to buy up to 10% of teams.
Forbes’ most recent valuation of the Giants came in at $7.3 billion, while CNBC pegged it at $7.85 billion.
For a recent comparison, the newly minted Super Bowl champion Philadelphia Eagles ranged in value from $6.6 billion (Forbes) to $7 billion (CNBC). In December, the Eagles sold a combined 8% to two families in separate transactions valuing the franchise at $8.1 billion and $8.3 billion, respectively. Philadelphia owner Jeffrey Lurie still controls 85% of the team under terms of the sales.
The Eagles are now at the top of the pro football world, while the Giants have been among the NFL’s worst teams in recent seasons.
Three private equity firms received NFL approval in December to make deals to acquire limited partnerships in teams. Arctos Partners purchased 10% of the Buffalo Bills, and Ares Management bought a 10% stake in the Miami Dolphins and related assets.
The Bills were valued by CNBC at $5.35 billion before the sale, and the Dolphins were valued at $8.1 billion.
ESPN’s Jordan Raanan and Field Level Media contributed to this report.
