Breaking records for three consecutive years! The total amount of sports M&A transactions reached 25 billion dollars, with Wall Street investment banks vying to get a piece of the pie.

According to data compiled by Bloomberg, investment banks facilitated around $25 billion worth of sports-related mergers and acquisitions in 2023, breaking records for the industry for the third consecutive year. Amid sluggish merger and acquisition activity in many major industries, the thriving sports M&A sector has provided much-needed respite for bankers. Billionaires, private equity firms, and hedge funds have been writing increasingly large checks to acquire some of the world's most renowned sports clubs. Wall Street has taken notice of this trend. Some banks, including Goldman Sachs, have established dedicated sports transaction departments, while others like JPMorgan have brought in bankers from other teams to handle sports business. Specialized advisory firms such as Raine Group, Moelis & Co., and Rothschild & Co. have also entered this field. Greg Carey, Co-Head of Global Sports Franchise at Goldman Sachs Investment Banking, said: "The sports industry is now seen as a separate asset class, and in times of relatively quiet M&A activity, there has been a lot of activity in the sports industry." Data shows that in 2023, Goldman Sachs held a leading position in the sports M&A sector, occupying 44% of the market share by transaction value. Goldman Sachs provided advice for the purchase of a 25% stake in Manchester United by British billionaire Jim Ratcliffe. Carey added: "As global interest in sports continues to grow, providing advice and financing for clients in the sports industry is an important part of our investment banking business." Amanda Staveley, Founder of PCP Capital Partners and co-owner of Newcastle United Football Club in the UK, said: "Many savvy investors, sovereign wealth funds, high net worth individuals, and even private equity firms now see sports as something interesting and profitable." "The enterprise value of sports teams continues to grow at a stunning pace, especially in the football sector."