Tom Brady
Credit: Reuters Photo
By Randall Williams
After months of tweaking the deal, NFL owners voted to approve Tom Brady and Knighthead Capital Management co-founder Tom Wagner buying a 10 per cent stake in the Las Vegas Raiders.
The deal had been in the works since May 2023, but stalled due to concerns over the valuation discount given by Raiders owner Mark Davis. While both Brady and Wagner are still buying at a discount, the duo have upped their offer significantly, according to people familiar with the matter.
“There’s a lot of interest from former players,” Roger Goodell, the NFL’s commissioner, said at the owners meeting in Atlanta. “That’s a great thing. They have the financial ability to do it, and they add a lot to ownership.”
Brady earned $332 million over the course of his 23-year career. He’ll also earn $375 million over the course of his 10-year broadcasting deal with Fox as a game-day commentator. Wagner, whose hedge fund Knighthead Capital has about $10 billion under management, last year purchased a stake in English football club Birmingham City along with Brady.
The former star quarterback is the only broadcaster who is also a part owner of an NFL club. Because of this, the league placed strict restrictions on the NFL’s all-time touchdown thrower. He isn’t permitted to attend in-person or online production meetings, cannot have access to team facilities, places or coaches. He also cannot criticize officials or other clubs.
Brady, who won a record seven Super Bowls, is expected to have a “significant role” in decision-making around the team, the people said. The Raiders have made the playoffs just twice in the last 14 years. The team currently sits at 2-4 and is on track to miss the postseason again.
With NFL contracts increasing every year, there are multiple NFL players who could be interested in owning minority stakes of clubs. The league forbid giving players ownership stakes as part of a contract last summer.
NFL owners also approved Tom Gores buying a minority stake in the Los Angeles Chargers. Gores, who owns the NBA’s Detroit Pistons, is founder and chairman of Platinum Equity, a Beverly Hills, California-based private equity firm with $48 billion in assets under management. A spokesperson for Gores declined to comment on the valuation.