Resources

Advisory

Advisory services at Park Lane feature M&A advisory and financial advisory. Our senior-level bankers are seasoned professionals in covering the buy side and the sell side of sports-related M&A deals. Our extensive industry knowledge and specialized focus has consistently translated to value-added solutions for our clients. We are equipped to support a diverse series of transactions such as joint ventures, minority investments, and reorganizations. Our financial advisory services deal with business solvency issues, valuations, research, and consulting. Clients utilize financial advisory for strategic recommendations on boosting long-term profitability, approaching a deal, and third-party opinions on existing agreements. Park Lane has forged lasting relationships with a variety of teams, leagues, high net worth investors, and sports-based businesses that have proven mutually successful.

 

All-Cash Deals

All-cash deals are transactions in which the capital structure of the acquirer’s offer consists of only cash and no stock or financing. A merger, acquisition, or investment may take shape as an all-cash deal if the parties involved prefer not to involve stock in an economic downturn or debt in times of conservative lending practices. A seller seeking liquidity and the security of guaranteed payment may also request an all-cash deal. Park Lane has consistently accommodated the diverse needs of our sports industry clients, and handling an all-cash deal is just one of the many transaction support services we offer.

 

Asset Divestitures

Divestitures entail selling off assets or an ownership stake in exchange for equity or cash. Sports-based companies looking to liquidate segments of their business turn to investment banks for divestiture advisory. Large sports leagues that consolidate several smaller leagues under one umbrella may hope to sell one or more of those component leagues to boost profitability or retain focus on a more narrowly defined market. Sports teams may divest an ownership stake in the form of a minority investment, or they also may sell divestitures of some team assets such as the stadium and its management contract. Park Lane has the vital relationships with sports investors to execute divestitures in the professional sports market.

 

Bank Loans

The process of acquiring relatively large bank loans to aid in an acquisition attempt or a company’s expansion is not always straightforward. Whether an investor, team, league or business seeks a short-term, intermediate-term, or long-term agreement, a secured loan or an unsecured one, we have the capabilities to intelligently negotiate the credit terms. Our bankers will execute the cash flow projections and set up covenants that are as favorable as possible. We provide the bank with the debt-to-equity ratio and a realistic valuation to secure the appropriate financing while preserving a strong balance sheet. Amidst economic uncertainties and situations unique to sports industry clients, Park Lane will help you decide which method of capital raising fits best.

 

Bankruptcy Management

In the event of a bankruptcy, whether current or approaching, Park Lane has the resources and experience to deliver superior bankruptcy management to sports industry clients. Our restructuring team works closely with our clients to ensure compliance and minimize the associated administrative costs. Our professionals can support reorganization, reworking of debt terms, and Chapter 11 advisory. We have experience with bankruptcy litigation and the legal proceedings that accompany financial distress. We understand the nature of bankruptcy management within the unique environment of the sports industry and can accordingly offer specialized service. Our comprehensive restructuring efforts include negotiating with creditors to maintain repayments and taking every step necessary to revive clients’ businesses and avoid similar issues in the future.

 

Bank

Large banks often have proprietary investment funds that they allocate among a diverse set of investment vehicles. From equity to fixed income and less common financial instruments, banks control significant investments and are thus an attractive option to fund managers of all kinds. As a sports investment bank, Park Lane constantly interacts with prominent banks on transactions and can help fund managers acquire bank investments.

 

Boutique Investment Bank

A boutique investment bank is a smaller and often specialized investment bank. Boutiques tend to draw the majority of their business from middle market transactions. Park Lane is a boutique investment bank that concentrates on the sports industry. Our team is a small group of bankers singularly focused on delivering exceptional personalized service to our clients. At Park Lane, you won’t get lost in the shuffle; our top-level executives will guide you every step of the way.

 

Business Development

An important portion of our financial advisory services is business development. Having interacted with so many teams, leagues, and sports-related businesses, we have gained some valuable insight into the sports industry and its opportunities for growth and profit. Because our professionals remain in contact with our clients to monitor the successful implementation of our services, we have seen working capital put into action, both with uniformly positive results and mixed results. The advantage of this experience working jointly with clients is the benefit of hindsight—our team knows the trends within an assortment of spaces within the professional sports market. As a result, clients have enlisted Park Lane for assistance with business development and consulting. Our team can help with increasing cost-effectiveness, third-party marketing, streamlining operations, penetrating new markets, and improving financial feasibility.

 

Business Valuation

Analyzing value in the professional sports industry can be just as much art as science. Beyond EBITDA, cash flow analysis, and net income multiples, sports business valuation must incorporate several unique factors. Park Lane looks at the complete picture in providing accurate and insightful valuations to our clients—sports teams, leagues, sports-based businesses, and high net worth investors.  Our bankers are skilled in valuing entire entities or individual assets while using any and all of the accepted valuation methods, including market price estimates, discounted cash flow models, precedent transactions, comparable companies, and multiple analysis.

 

Buy a Baseball Team

Our professionals have established a strong presence in professional baseball circles and are well-prepared to advise entrepreneurs in their efforts to buy a baseball team. We have worked on the buy side with MLB teams and can support the acquisition of a baseball team at any point of the transaction. Whether it is a minority investment, bankruptcy-driven purchase, or joint venture, Park Lane is a qualified financial advisor for investors interested in professional baseball organizations. We also have significant experience with minor league teams and extend our buy-side advisory services to independent leagues as well.

 

Buy a Basketball Team

Park Lane has a superb reputation within professional basketball and can ably guide sports investors in their attempts to buy a basketball team. We have worked with several NBA organizations and can support the purchase of a basketball team at any point of the transaction. Whether it is a minority investment, bankruptcy-driven purchase, or joint venture, Park Lane is a qualified advisor in basketball team acquisitions. We also have significant experience with the ABA and extend our buy-side advisory services to lesser-known leagues as well.

 

Buy a Football Team

Park Lane has deep connections to American football, which we can utilize to our clients’ advantage as they move forward with buying a football team. Our Managing Director is a former NFL player and a current member of the NFLPA, maintaining numerous ties to players, owners, and executives. We have advised private buy-side acquisitions within the NFL and can support the purchase of a football team at any point of the transaction. Whether it is a minority investment, bankruptcy-driven acquisition, or joint venture, Park Lane is a premier buy-side advisor in football team acquisitions. We also have significant experience with the Arena Football League and af2.

 

Buy a Hockey Team

With several hockey deals under our belt, Park Lane can effectively assist sports investors in their pursuit to buy a professional ice hockey team. We have M&A experience with NHL teams and have advised private buy-side acquisitions within the league as well. Our bankers can support the acquisition of a hockey team at any point of the transaction. Whether it is a minority investment, bankruptcy-driven purchase, or joint venture, Park Lane is a proven advisor for investors interested in professional hockey organizations. We also have completed deals with minor league teams and extend our buy-side advisory services to the AHL, ECHL, IHL, and other leagues.

 

Buy a Soccer Team

With several bankers dedicated primarily to domestic and international soccer, Park Lane is a formidable sports finance advisor for high net worth investors looking to buy a professional soccer team. Our professionals have worked on M&A deals with the MLS and are working to continue to entrench ourselves in international soccer as well. We can support the acquisition of a soccer team at any point of the transaction. Whether it is a minority investment, bankruptcy-driven purchase, or joint venture, our team boasts capable advisors for investors interested in soccer organizations. Our negotiating and deal closing prowess make Park Lane an appealing sports investment bank for professional soccer clients.

 

Buy a Sports Team

Many times, high net worth individuals amass a large amount of wealth and seek an outlet in which to invest some of it without wanting to sacrifice personal enjoyment. Buying a sports team is an ideal option that allows wealthy sports fans to return to their childhood love of the game. The caveat—that owning a sports team is not all fun and games, and requires a keen business sense and a creative approach—often only heightens the appeal for successful entrepreneurs who embrace a challenge. With ample buy-side M&A advisory, our bankers can facilitate the seamless purchase of a professional sports team.   Whether your passion is football, basketball, baseball, hockey, soccer, or another sport, Park Lane can advise you adeptly in your efforts to buy a sports team.

 

Buy-side Advisory

Given our familiarity with the nature of the sports industry and its prominent players, Park Lane is a reputed buy-side M&A advisor. Acquisitions encourage organic growth and entry into new markets, which are key components of expansionary business development. Selecting an ideal and willing seller can be tedious and drawn out, but we have the initiative and the connections to simplify the procedure. Whether it is a specific targeted acquisition, a management buyout, or a large-scale expansion, we scour the market for the perfect seller and devise an attractive post-acquisition capital structure. Our buy-side advisors raise capital if needed and make certain that the target fits within the buyer’s strategy going forward. Park Lane will handle the technicalities of your acquisition and let you manage the day-to-day operations of your team or company.

 

Capital Adequacy Opinions

Capital adequacy opinions are utilized to aid our sports industry clients in measuring the health and financial feasibility of their operation. Lenders, boards of directors, or equity sponsors may request a review of a loan or other payment agreement to verify an organization’s or individual’s ability to pay off debt, maintain sufficient capital, or hold enough assets to outnumber liabilities. Park Lane supports all the major types of capital adequacy opinions, including solvency opinions, insolvency opinions, surplus opinions, viability opinions, and reasonably equivalent value opinions.

 

Capital Raising

Capital raising is central to the corporate finance operations of an investment bank. Park Lane is a full-service sports investment bank outfitted to manage the complete scope of capital raising needs. If a team requires a bank loan to pay for a new stadium or a league hopes to obtain financing to foster maneuverability, we can ease the process. In equity financing, we correspond with company management in selecting private equity or venture capital firms and pursuing investments. Our debt financing services connect clients with qualified lenders to leverage their company while retaining a healthy balance sheet. Our bankers also assist teams with public financing by working with city governments to structure debt terms such as taxes and municipal bonds. Whether a sports industry client wants to raise capital to regain profitability or expand an already-thriving operation, Park Lane is a leading sports finance advisor.

 

Commodities

Commodities are physical goods traded at prices determined by global supply and demand. They are most often traded in the form of futures contracts on exchanges all over the world. Natural resources, precious metals, and agricultural products are all examples of commodities.

 

Consulting

In sports, it’s who you know.

To effectively run a sports team or sports-based business, it is critical not only to understand the nuances of the sports industry, but also to utilize strategic relationships to drive continual progress. Park Lane offers an array of consulting services to our clients in the sports industry, ranging from advisory on business development to navigating the sports landscape pre- or post-acquisition. Entering the sports world, whether as a new owner, minority investor, or start-up business, often necessitates securing relationships with key insiders in the sports world. Our professionals offer the full gamut of sports business-centered consulting services―everything from advising teams on the selection of coaches to placing CEOs into companies upon the close of a financing round. Our team is well-versed in many of the issues that sports teams and businesses face, and we have a strong network of partners, investors, and entities to help clients address them.

Park Lane’s consulting services include operational and management capabilities for start-ups, assisting companies with evaluation their product or market, and navigating through turnaround situations, among others. Our executive team features entrepreneurs-in-residence who can serve as a right-hand man to the executive team and/or sit in as a temporary CEOs or COOs.

The firm counts the following areas among its consulting specializations:

Strategy

The firm’s executives pull from a wealth of business experience and industry knowledge to aid clients with strategy formation and business model development. Whether a client is managing cost-effectiveness, improving product components, forming strategic partnerships, or planning a well-timed product launch, Park Lane advisors are there every step of the way to provide introductions, direct margin improvement, and advise on market factors.

Operations

Our team features several current and former C-level executives and entrepreneurs-in-residence at top companies in the sports and media industries. As such, operational expertise and know-how are among our in-house benefits made available to clients. Our professionals can work side by side with a team or sports-based business for months at a time to streamline operational procedure or even temporarily drop in as an interim company executive in certain cases.

Distribution

Oftentimes we see an outstanding business plan from a prospective client that is short on one major component of viability and valuation: distribution. Securing distribution is instrumental in inspiring investor confidence, and even disruptive products can be difficult to put into major distribution channels initially. Fortunately, Park Lane has crafted relationships with prominent distributors and retail chains across many different verticals within sports, and we offer these to clients as they strive to build a more compelling offering.

Capital Structure

In addition to varied restructuring capabilities, Park Lane is adept in consulting clients on setting a strong capital structure. If a sports-based business has outstanding debt, our team can account for that in a concurrent capital raise strategy, facilitate a write-down of the debt, or recommend other measures to ease the financial burden. Our bankers are well-versed in working through various cap table structures, stock offering classes, and convertible debt scenarios. Whether a team or company is in a precarious capital situation or simply needs to set a balanced, advantageous capital structure for long-term viability, Park Lane can help find the ideal solution.

Staffing

Over decades of sports industry experience, our executives have met, come across, and worked with countless great people. One ancillary benefit of that is improving our clients’ teams and businesses by reaching out to our networks of personnel. This option is useful for growing companies conducting a capital raise and teams or businesses being acquired, restructured, or taken through turnarounds. Park Lane can suggest or introduce professionals in the following categories, among others:

  • CEOs
  • CFOs
  • COOs
  • Coaches
  • Front office officials
  • Sales personnel
  • Business development
  • Front- and back-end engineers
  • Digital
  • Attorneys/legal advisors

Media/Digital

As our professionals have particularly strong backgrounds in digital and traditional media, Park Lane is a valued advisor for sports media clients. Our media/digital expertise also comes into play with growth companies looking to expand their media offerings or teams seeking to build a deeper digital presence. Our bankers can also play a lead role in creating or revitalizing social media campaigns. The firm is ideally equipped to provide advisory to TV networks, online platforms, multimedia channels, and diversified companies with a digital presence.

Licensing

If a company or team is looking to license out its brand or logo as part of its revenue strategy, our executives are able to deliver sophisticated sports licensing services. As a prominent player in sports business, Park Lane understands the value of brand names in the sports industry. Our team not only will help maximize revenue in a low-cost model through sports licensing, but we will reliably assist in the protection of brands, logos, and trademarks through the process in order to ensure proper representation.

 

Convertibles

Convertible securities give the investor the right to convert the original security, usually a bond or preferred share, into another security, typically common stock. Convertibles usually specify a date or event upon which the conversion is possible and present the investor with increased equity participation, downside protection, and overall financial flexibility.

 

Corporate Finance

When a sports league, team, or sports-based business is looking to raise money or rework capital structure, they call on Park Lane to handle their most pressing corporate finance needs. We assist sports industry clients in raising debt and equity financing to fund organic growth, acquisitions, or business development in new markets. We specialize in the following:

  • Capital raising
  • Recapitalizations
  • Restructurings
  • Financial information preparation
  • Negotiations
  • Deal closing

Our professionals are well-versed in raising capital. We know the players in each market and maintain a robust database of sports investors around the globe. Our team offers other corporate finance services such as initial public offerings, reverse mergers and third-party marketing.

Park Lane delivers all of our services through a highly focused sports industry filter, and we work to maximize your corporate value while minimizing your risk.

 

Creditor and Vendor Negotiations

In the event of an impending bankruptcy or looming financial concerns, Park Lane’s restructuring team offers creditor and vendor negotiation services. If a sports league, team, or sports-based business is looking to restructure its debt terms or secure a loan, our professionals can effectively handle creditor negotiations with banks or investing groups. For clients with investments in a failing team, league, or company, we are able to lead vendor negotiations and develop an exit strategy. Cash flow and profitability are pivotal in maintaining investments and ensuring the ability to repay outstanding debt. Our team can identify situations that call for restructuring and manage the accompanying creditor and vendor negotiations accordingly.

 

Deal Closing

The ability to close deals is paramount in investment banking. Our relationships with different types of clients in the sports industry have enabled us to build a reputation as a trustworthy advisor. Moreover, our experience negotiating sports finance transactions allows us to facilitate agreeable conclusions to mergers and acquisitions and corporate finance deals. Our extensive network of sports finance contacts and our expertise with both the buy side and sell side pave the way for favorable terms and desirable exit strategies.  We stay in contact with clients to secure a smooth transition and successful strategy implementation. At Park Lane, our penchant for deal closing is a result of our capacity to concentrate on the most important issues on the way to a transaction’s resolution.

 

Debt Financing

Raising capital through debt financing entails selling bonds, bills, or notes to investors to acquire money in the short term. This money is often used to fund projects geared to bring profit or expand operations. Rather than advocating for certain capital solutions, Park Lane presents our clients with the full array of debt financing options. We will distinguish qualified lenders, perform due diligence, and revamp the terms of existing agreements where necessary. Our bankers have the ability to raise senior or mezzanine debt backed by cash or assets. We fastidiously prepare Private Placement Memorandums, analyze pricing, and oversee the transaction’s close. Park Lane also advises on leveraged buyouts and recapitalizations.

 

Detailed Plans for Turnarounds

Countless factors can send a sports league, franchise or sports-related business into a tailspin of net losses and indebtedness. Sports finance clients that seek turnaround advisory may engage Park Lane to help bring them back to lasting profitability. Our experience with business development and consulting has exposed us to a diverse range of paths that sports industry clients can take and the typical obstacles they may face in their turnaround efforts. Our financial background and niche in sports investment banking allow us to map out financial projections and practical strategies. Park Lane’s detailed plans for turnarounds explore all potential avenues in an attempt to reverse the fortunes of our clients.

 

Distressed Debt

Distressed debt refers to corporate bonds issued by companies that are experiencing a troubling financial situation. Companies that offer these securities have either filed for bankruptcy or appear likely to do so in the near future. Investors look to buy distressed debt in order to take advantage of cheap par values. In the event that the company does go bankrupt, distressed debt holders typically have the leverage they need to control reorganization efforts or liquidation procedures. Investing in distressed debt can prove to be very lucrative and is sometimes categorized as a form of private equity investment.

 

Distressed M&A

In what are typically referred to as special situations, clients may find themselves in ominous financial or strategic circumstances that call for distressed mergers and acquisitions advisory. In these situations, it becomes necessary to address possible bankruptcy, liquidity, or legal issues via financial restructuring, strategic alternatives, and value-maximizing corporate finance strategies. Our team can assist clients whose balance sheets are heavily leveraged or whose stakeholders have differing agendas. Our distressed valuations, knowledge of the sports industry, and relationships with relevant investors distinguish Park Lane as a capable advisor for distressed M&A situations. We will act quickly but judiciously in getting your team, league, or sports-related business back on the right track.

 

Dividend Recapitalizations

Dividend recapitalizations are leveraged transactions which alter existing capital structures of corporations in order to pay out a dividend.  A corporation might find dividend recaps an attractive option when low-cost debt financing is available in the market. Although unattractive to common shareholders, dividend recaps are highly popular among private equity firms.

 

Domestic Equity

Domestic equity refers to all stocks and equity products traded and available in the United States. Well-known examples of US markets offering domestic equity include the Dow Jones Industrial Average, the S&P 500, the Nasdaq Composite Index, and the New York Stock Exchange.

 

Due Diligence

Due diligence involves an in-depth investigation of a potential investment. The due diligence process may include research, valuations, review of operations and financial statements, and in-depth discussions with both sides of the pending transaction. Due diligence is often necessitated by potential mergers and acquisitions, private equity investments, or bank loans. If a league, team, or sports-based business expresses interest in undertaking an investment or transaction, our professionals take the proper measures needed to provide transparency. Park Lane’s unparalleled experience in sports finance guarantees that each client is fully informed regarding their prospective investments.

 

Emerging Markets Equity

With roughly 30 countries defined as experiencing rapid economic growth and high industrialization, investment in emerging markets is becoming a popular and increasingly integral way to diversify a portfolio. Investing in emerging markets is often utilized as a strategy to counterbalance investments largely in heavily developed markets that are more difficult to predict. Currently, some of the more well-known emerging markets are Brazil, Russia, India, Mexico, and China.

 

Equity

Equity is a class of asset that describes stocks and other similar products. There are many different types of equity, including:

  • Domestic equity
  • Large-cap equity
  • Mid-cap equity
  • Small-cap equity
  • Growth equity
  • Value equity
  • EAFE equity
  • Emerging markets equity

 

Equity Financing

With the valuable professional relationships we have formed with sports industry investors and other high net worth individuals over the years, Park Lane is a first-rate sports investment bank in dealing with equity financing. We are well-versed in securing diverse types of equity financing for sports leagues and teams, including private equity and venture capital investments. Our professionals develop ROI projections and solicit our proprietary database of investors with the goal of obtaining advantageous equity financing. For sports-related businesses, we are able to bring in early or late stage venture capital funding and support IPOs and other securities issues.

 

ESOP (Employee Stock Ownership Plan)

Many businesses choose to adopt an Employee Stock Ownership Plan to incentivize their workers and distribute equity within the company. ESOPs give workers increased responsibility and motivation to perform productively for the company’s benefit. Whether a sports industry client seeks to adopt or adjust an ESOP for tax advantage purposes, improved liquidity, or due to an owner’s departure from the company, Park Lane creatively advises on a wide range of ESOP transactions. Our sports investment bankers can raise subordinated debt and equity capital for LBOs and other forms of employee-led buyouts. Our knowledge of the regulatory environment surrounding ESOPs allows us to provide clients with strategic alternatives such as divestiture options and private placements.

 

Fairness Opinions

Fairness opinions are third-party assessments of the terms of a transaction, such as a merger, acquisition, divestiture, or minority investment. Park Lane’s fairness opinions regarding pricing and valuation proposals are impartial, well-researched, and free of conflicts of interest.

 

Family Investment Offices

Wealthy, established families often make their best attempt at maintaining their legacy and financial property. Family investment offices offer high net worth families a personalized service that provides them with investment management and advisory services. These small and highly private offices are able to deal with all important financial matters pertinent to their family clients. Park Lane has the reputation and savvy to forge business relationships between our represented fund managers and highly regarded family investment offices.

 

Finance a Baseball Team

Park Lane has an established record of advising clients on matters of baseball team finance. Whether it is capital raising, restructuring, recapitalizations, or other types of corporate finance, our bankers are proven in financing baseball teams. If teams hope to increase marketing efforts or promote operational flexibility, we can acquire financing via debt or equity investments. Our clients enjoy the benefits of our proprietary database of lenders and private investments groups that specialize in sports teams, leagues, and sports-related businesses. Park Lane has transaction experience with MLB and minor league teams.  Our bankers can also support baseball team financing needs within independent leagues, summer leagues, and other leagues.

 

Finance a Basketball Team

Park Lane has a noted history of assisting clients on matters of basketball team finance. Whether it is capital raising, restructuring, recapitalizations, or other types of corporate finance, our bankers are proven in financing basketball teams. If teams hope to increase marketing efforts or promote operational flexibility, we can acquire financing via debt or equity investments. Our clients enjoy the benefits of our proprietary database of lenders and private investments groups that specialize in sports teams, leagues, and sports-related businesses. Our bankers can also support basketball team financing needs within lesser-known leagues.

 

Finance a Football Team

Park Lane has advised key clients on matters of football team finance. Whether it is capital raising, restructuring, recapitalizations, or other types of corporate finance, our bankers are proven in financing football teams. If teams hope to increase marketing efforts or promote operational flexibility, we can acquire financing via debt or equity investments. Our clients enjoy the benefits of our proprietary database of lenders and private investments groups that specialize in sports teams, leagues, and sports-related businesses. Park Lane has transaction experience with the NFL, AFL, and af2.  Our bankers can also support football team financing needs within lesser-known leagues.

 

Finance a Hockey Team

Park Lane has extensive experience dealing with prominent clients on matters of hockey team finance. Whether it is capital raising, restructuring, recapitalizations, or other types of corporate finance, our bankers are proven in financing hockey teams. If teams wish to increase marketing efforts or promote operational flexibility, we can acquire financing via debt or equity investments. Our clients enjoy the benefits of our proprietary database of lenders and private investments groups that specialize in sports teams, leagues, and sports-related businesses. Park Lane has transaction experience with NHL, ECHL, and IHL teams.  Our bankers can also support hockey team financing needs within other domestic and international leagues.

 

Finance a Soccer Team

Park Lane is a growing presence within the field of client advisory on matters of soccer team finance. Whether it is capital raising, restructuring, recapitalizations, or other types of corporate finance, our bankers are proven in financing soccer teams. If teams hope to increase marketing efforts or promote operational flexibility, we can acquire financing via debt or equity investments. Our clients enjoy the benefits of our proprietary database of lenders and private investments groups that specialize in sports teams, leagues, and sports-related businesses. Park Lane has experience with MLS teams as well as other soccer leagues.  Our bankers can support soccer team financing needs within major international leagues or lesser-known leagues.

 

Finance a Sports Team

Park Lane has built a strong history advising clients in the professional sports industry on matters of sports finance. Whether it is capital raising, restructuring, recapitalizations, or other types of corporate finance, our bankers are proven in financing sports teams. If teams hope to increase marketing efforts or promote operational flexibility, we can acquire financing via debt or equity investments. Our clients enjoy the benefits of our proprietary database of lenders and private investments groups that specialize in sports teams, leagues, and sports-related businesses. Please refer to the Transactions page for specific examples of Park Lane’s sports team financing experience.

 

Financial Advisory

Park Lane professionals are frequently called on for financial advisory (also referred to as strategic advisory)—evaluating the state of a league, team, sports-related business, or potential investment. A key component of gauging clients’ financial health is valuation. Our investment bankers are skilled in all methods of valuation, including market-based estimates, discounted cash flow modeling, precedent transactions, comparable companies, and multiple analysis. These techniques enable us to provide fairness opinions on selected transactions, in which we judge the credibility of the terms and conditions of a deal.  Our team also gives capital adequacy opinions to examine the solvency of a client’s capital structure and balance sheet. If a company wants to offer workers the option of owning its stock, we can structure or adjust an Employee Stock Ownership Plan. Additional financial advisory services we extend are research, consulting, and business development. Park Lane’s financial advisory can help you get a better grasp on complicated sports finance matters.

Below is a summarized list of our financial advisory services:

  • Business valuations
  • Fairness opinions
  • Capital adequacy opinions
  • Business development
  • Research
  • Political consulting
  • ESOP

 

Financial Information Preparation

If a league or franchise has recently formed, or if a sports-related business is getting off the ground, it often makes sense to enlist analysis and projection of financials from a credible financial advisor. Financial information preparation entails gathering the relevant financial data, compiling it into spreadsheets and financial statements, and projecting revenues and profits into future years. Park Lane’s preparation of financial information can provide sports industry clients with a reasonable assessment of their near-term cash flows and long-term feasibility. Client-specific considerations are augmented by comprehensive market and industry-specific research. In addition to financial information preparation for primarily new or young companies, our professionals offer capital adequacy solutions for clients looking to evaluate solvency and potential profitability over the long run.

 

Fixed Income

Fixed income generally refers to bonds or similar products, such as bills, notes, and put or call options. The most common types of fixed income products are short-term, long-term, and high-yield bonds.

 

Funds of Funds

A fund of funds adopts a very unique investment strategy by seeking to capitalize on the performance of other funds. It looks to buy a portion of other funds rather than invest its capital directly in stocks, bonds, and other financial products. Managers of successful funds of funds actively seek out the best-performing funds across the globe, each investing in diverse types of collective investment schemes, such as private equity, hedge funds, futures, and commodities.

 

Futures

Futures contracts are a type of derivative that allows the buyer to sell or purchase a set amount of a specified commodity or financial instrument on a particular date. Futures markets are known to utilize high levels of leverage, and contract holders are obligated to fulfill the terms of the contract. Futures, like shorting a stock, allow keen investors to profit if they can correctly predict a vehicle’s direction beyond a certain point.

 

Growth Equity

An investor might look to allocate funds in growth equity if they foresee considerable potential for business expansion. Although growth stocks typically do not offer dividends to shareholders, investors look to gain share value appreciation through above-average earnings and increases in P/E multiples. Growth companies are usually identified by an early stage in the business lifecycle, uniqueness of product, unsaturated markets, and cash to fund expansion.

 

Hedge Funds

Hedge funds are high-risk investment funds that usually employ complex and specialized investment strategies. They can take on many different strategic focuses, with approaches including global macro, event-driven, directional, and relative value. Investor capital is typically locked into a hedge fund for at least one year, and expensive fees are justified by potentially exorbitant returns on investment thanks to exceptional managers with proven track records.

High-Yield Fixed Income

The rating of a bond is directly related to the issuer’s ability to pay interest and principal payments on schedule. Taking this into consideration, high-yield fixed income products, also known as junk bonds, offer above-average interest rates due to their higher risk levels. Bonds rated as BBB (S&P) or Baa3 (Moody’s) are considered to have a high level of risk and thus pay higher coupon payments than U.S. Treasuries and high-grade corporate bonds.

 

International Equity

For Park Lane’s purposes, equity products traded outside the United States are considered international equity. Investors looking to gain from favorable conditions or disequilibrium in other areas of the world could look to invest in external markets. Well-known examples of international equity markets include the FTSE 100 (United Kingdom), DAX (Germany), and NIKKEI (Japan).

 

Investment Banking

Investment banking generally breaks down into two main components: advisory and corporate finance. An investment bank acts as the middleman between buyers and sellers, whether that entails bringing together two parties in the purchase of a company or finding debt or equity investors. At Park Lane, the companies we deal with are sports teams, leagues, or sports-related businesses. These entities may be buyers or sellers in a merger or acquisition, in which case we work to find an appropriate counterpart in the deal and iron out the details of the transaction. Park Lane not only represents teams, leagues, and companies, but high net worth individuals and investing groups seeking sports finance services as well. Our team has considerable experience advising the buy side and the sell side of mergers and acquisitions in the sports industry. In addition to M&A advisory, our strategic advisory business provides valuations, fairness opinions, and capital adequacy assessments. Other services we offer include consulting, research, and business development. Our clients also come to us with corporate finance needs. This aspect of investment banking most often involves raising capital—acquiring funding via bank loans, debt financing, private equity or venture capital funding, or public financing. Park Lane can source funding, structure credit terms, and devise the unique agreements often required in the world of sports.

 

Joint Ventures

Joint ventures are often practical vehicles for sports-based businesses, investors, and even sports franchises. By agreeing to create a new entity, businesses can reach greater economies of scale by synergizing their skills, technologies, and financial resources. Joint ventures give businesses a greater opportunity to take market share and influence industry trends, in addition to increased corporate agility and speed to market. Additionally, sports teams may set up joint ventures with large banks, private equity firms, or companies to form regional sports networks, in-house concessionaires, or arena management groups. With specialized knowledge of sports finance, Park Lane is fully capable of advising sports industry clients in creating lasting and successful joint ventures.

 

Large-Cap Equity

Market capitalization, which is calculated by multiplying the company’s current share price by the number of outstanding shares, is a proxy for a stock’s size. Large-cap equities are identified by their large capitalizations—usually mature companies that generate stable cash flow and are valued between $10 billion and $200 billion. Exxon Mobil, Microsoft, and Wal-Mart are perceived as large-cap corporations.

 

Leveraged Buyouts

Leveraged buyouts (or LBOs) are transactions in which the buyer utilizes a large amount of debt financing to fund the acquisition of a company, entity, or set of assets. This type of deal, typically executed by private equity firms, became a mainstream financial vehicle in the 1980s. Investment banks advise either the buy side or the sell side of proposed leveraged buyouts. Park Lane’s LBO advisory business centers on sports-based businesses. Generally, in their pursuit of potential targets, private equity firms and financial sponsors seek companies with stable cash flow, tangible assets, and low debt. Our team can support a sports-related company contemplating a leveraged buyout inquiry or find private equity investors for a business that actively pushes to be acquired. Our M&A experience, negotiation prowess, and deal closing ability set Park Lane apart as a leading leveraged buyout advisor in the sports industry.

 

Liquidation

Smaller sports leagues, unprofitable franchises, and sports-related businesses changing directions may try other restructuring processes to no avail and seek liquidation of their assets. In other cases, liquidation may be the quickest, most direct exit strategy and be the preferable course of action. In either scenario, Park Lane is well-suited to guide sports industry clients through the sale and redistribution of their assets. Our relationships with high net sports investors and team owners across various leagues help introduce possible acquirers of client assets. Whether compulsory or voluntary, we can ably support liquidation for sports finance clients.

 

Long-Term Fixed Income

Long-term fixed income products are highly popular in the investment community, as they offer a stable flow of cash at relatively low levels of risk. Long-term bonds typically include 5 to 30-year terms. They are generally considered liquid investments and frequently present the investor with tax incentives.

 

Mergers & Acquisitions (M&A)

“Park Lane contributed valuable information and assistance in our acquisition of MacGregor Golf in 2009. We are proud to work with them, and look forward to future opportunities together.”

— Martin Hanaka, CEO, Golfsmith

With exceptional transaction expertise, relationships and trade knowledge, Park Lane is an industry leader in advisory services for mergers and acquisitions in sports. M&A advisory is offered to both targets (“the sell side”) and acquirers (“the buy side”).  Sell-side advisory includes canvassing our network of contacts in the sports industry to pinpoint the right buyer, formulating an exit strategy for owners and investors, and ensuring a deal’s satisfactory close. On the buy side, our team identifies qualifying targets, performs valuations and due diligence, negotiates price and terms, and sets the deal structure.

Our proprietary M&A process includes the following types of transactions, among others:

  • Sell side
  • Buy side
  • All-cash deals
  • Stock swaps
  • Asset divestitures
  • Due diligence
  • Distressed M&A

From producing financials for an owner who wishes to sell a team to negotiating a merger between two similarly-sized healthy living companies, from helping a group of investors convince a growing sports league that they are fit to own an expansion team to advising an extreme sports company on buying out an up-and-coming competitor, Park Lane is a trusted player in sports finance. In this exclusive field, it may take more than wealth to own a team and more than initiative to sell a business. We have the essential, in-depth relationships to open the doors to M&A possibilities.

 

Mezzanine Funds

A mezzanine investment fund typically consists of a combination of debt and equity instruments. The debt component is included for the sake of providing steady cash flow and downside risk protection, while the equity component gives the fund more upside potential. Some mezzanine funds are not tied to the above formula, however, and can include preferred stock in place of debt instruments.

 

Mid-Cap Equity

Market capitalization, which is calculated by multiplying the company’s current share price by the number of outstanding shares, is a proxy for a stock’s size. Companies with market capitalization valued at $2 billion to $10 billion are considered to be medium in size, or mid-cap stocks. Although mid-caps are not as mature as large-caps, they hold reasonable growth potential and play a significant role in the market.

 

Middle Market Investment Bank

Within investment banking, the size of transactions varies greatly from deal to deal and from bank to bank. Companies are often categorized as small-cap, mid-cap, or large-cap depending on the company’s perceived market value. Middle market investment banks carve their niche primarily in transactions involving small-cap and mid-cap companies. The value parameters of the middle market differ according to the source, but generally, middle market investment banks conduct deals ranging from $20 million to $100 million. These boundaries do not confine our business, as sports league transactions often exceed $100 million and investments of less than $20 million are made. However, as the majority of sports teams and sports-related businesses are not considered juggernaut corporations, Park Lane is a sports investment bank that dedicates most of our business to middle market sports finance.

 

Minority Investments

A minority investment is a significant but non-controlling investment that a business or investor makes in a company or entity. Also known as minority interest, minority investments control less than 50% of equity but still typically result in some input in company decisions. Sports-related businesses may seek to buy minority interest in other companies for financial gain, risk aversion, or diversification. High net worth investors may hope to become involved in running a sports franchise but lack the means, initiative, or experience to gain a controlling interest. At Park Lane, we have considerable experience handling minority investments with sports leagues, teams, sports-based businesses, and investing groups. Our expertise within the sports finance space allows us to help our clients execute suitable and profitable minority investment decisions.

 

Mutual Funds

Mutual funds are open-end investment funds run by professional managers and contain capital supplied by a variety of investors. Mutual fund managers typically strive to diversify their fund’s capital by investing in a wide range of securities, namely a combination of bonds, stocks, and other more complex vehicles. In recent years, there has been a dramatic rise in the number of mutual funds due to their outstanding performance at reasonable levels of risk.

 

Negotiation

Park Lane’s elite negotiation skills are critical in providing successful services to clients. Investment banks dealing with the sports industry must consider several distinct factors contributing to perceived asset values, such as on-field performance, attendance statistics, and historical mystique. Through our diligent, accurate valuations, we ensure that we are well-prepared to negotiate. Our strong relationships with diverse clients in the sports industry are vital, as is the excellent reputation we hold within sports finance. Our team is relentless in negotiating fair and favorable terms for our clients, utilizing any and all advantages that we possess.

 

Private Equity Firms

Private equity firms are composed of financial advisors controlling funds that they raise and then invest in what are known as leveraged buyouts. LBOs utilize a significant amount of debt and usually are completed in hopes of acquiring a mismanaged company, streamlining the operations and management, and selling the company back to the public for a profit. Private equity firms are known as financial buyers. Private equity is one option for wealthy investors who seek large returns and are willing to accept a decent amount of risk. Park Lane maintains close connections with many private equity firms to facilitate the best services for our clients.

 

Private Equity Investing

At Park Lane, we have assembled a wealth of contacts in private equity that have displayed a keen interest in the sports industry. Our relationships with prestigious PE firms enable us to offer our clients another important form of equity financing. Most often, private equity investments in sports teams and leagues are minority stake investments, with which our professionals are considerably experienced. Sports-based businesses also interact frequently with private equity firms via leveraged buyouts, a type of acquisition relying heavily on debt as a financial medium. Park Lane can act as the middleman offering M&A advisory to sports industry clients in LBO deals.

 

Private Placements

Private placement offerings allow businesses to raise capital from a small group of private investors through the issuance of debt, equity, or both. Due to the characteristics of the process, private placements are very prominent and attractive in the sports business industry. Park Lane excels in obtaining private capital for sports-related businesses thanks to our close relationships with various private equity funds, venture capital funds, banks, and high net worth individuals.

 

Public Financing

Public financing is a focal point of sports finance as it pertains to teams, most often with the funding of stadium construction or improvement. City governments tend to accept part of the economic burden that stadiums can induce in hopes that teams will draw millions of fans and, in turn, generate significant revenue.  Whether public financing comes down to taxes or city-issued bonds, Park Lane has experience working alongside both teams and municipalities to shape the terms and construct a mutually beneficial agreement.

 

Public Offerings

Public offerings are commonly utilized by sports-based businesses as a form of raising capital. Park Lane is proficient in providing its clients with professional assistance throughout the offering process. Our bankers are able to tailor each offering to best suit client needs. We assist our clients in establishing the type of security to issue, a best offering price, and an appropriate time to bring the offering to the market. Appropriate risks are always taken into consideration for the protection of our sports industry clients. While issuing public offerings, our team will be there every step of the way to confirm that sufficient capital is raised in order to support the health and growth of our clients’ businesses.

 

Recapitalizations

If a league, business, or team in the sports industry stands to benefit from altering its capital structure, Park Lane boasts a strong recapitalization business. Recapitalizations can become necessary when an owner hopes to maintain control of an entity while offering a more concrete return to investors. The refinancing involved may entail substituting debt for equity to create tax advantages, shareholder value, liquidity, or flexibility. Whether it best suits our sports finance clients to switch to convertible debt, subordinated debt, or preferred equity, our team can assist in encouraging cash flow-driven recapitalization projects in the short term while not neglecting long-term strategic planning in the meantime.

 

Reorganizations

If a company is struggling to remain viable or profitable, reorganizations are one potential course of action. Reorganizations are an alternative to bankruptcy proceedings and involve revisiting items listed on the balance sheet. Assets are typically marked down to a value more in line with current market variables. Liabilities are adjusted comparably, and negotiations with creditors take place to restructure equity as needed. Reorganizations are most often seen with sports-based businesses but also occur with teams and even leagues. Our team at Park Lane can help sports industry clients stay afloat with our reorganization advisory.

 

Research

With our defined specialization in sports finance, it is vital to be a step ahead of the competition when it comes to relevant information about the sports industry. Our team is constantly researching not only news about the health and happenings among sports leagues, teams, and sports-based businesses, but also innovative ways of providing financing services to these clients. Whether it is general background research, specific deal research, comparable transaction research, or due diligence, Park Lane holds itself to a standard of diligent and comprehensive research. Both our sports finance research and sports business research afford our clients the opportunity to capitalize on a well-prepared sports investment banking advisor.

 

Restructuring

Financial restructuring in the business of professional sports requires technical expertise, creativity, and experience that are difficult to obtain from one investment bank. Park Lane is a rare exception: we have the capability as well as the relationships to make your corporate restructuring efficient and successful.

Our restructuring services include:

  • Distressed M&A
  • Asset Divestitures
  • Creditor and Vendor Negotiations
  • Detailed Plans for Turnarounds
  • Secure Capital for Turnarounds
  • Accounts Receivable Funding
  • Bankruptcy Management
  • Liquidation
  • Special Situations

In the midst of precarious financial situations, Park Lane’s restructuring services can be the difference between closing shop and striving ahead. Moreover, our understanding of the sports industry allows us to employ innovative restructuring methods that relieve imminent concerns before they evolve into larger issues.

Let Park Lane help you survive difficult financial times so you can keep winning well into the future.

 

Return on Investment

Profitability is the leading reason to advance an investment. Return on investment, or ROI, is a ratio that gauges profitability. If a league, team, sports-related business, or investor wishes to make an investment, Park Lane will be sure to help them verify and meet their expected returns. As a premium sports investment bank, our specialized knowledge of the industry allows us to have a clear picture of sports finance. Our bankers will consistently provide clients with the right information to make sound investments.

 

Reverse Mergers

A reverse merger is best described as a merger between a private and public company. After completion of the merger, the private company becomes publicly listed and gains many benefits through the form of increased liquidity, greater visibility in the investment community, and better access to capital markets. Reverse mergers also offer a cost-effective alternative to the IPO process. With years of experience in sports finance, Park Lane will guide you through reverse mergers and the ensuing transition as we help maximize your ability to create long-term value for shareholders.

 

Secure Capital for Turnarounds

Park Lane is extremely adept in raising capital for sports industry clients, due in large part to our understanding of the space and large network of high net worth investors interested in sports. It is just as important to secure funds for clients in financial trouble as it is for clients that are thriving and expanding. Sports leagues, teams, or sports-based businesses often hope to reinvigorate themselves by generating profitability rather than simply seeking a sale. In these cases, our bankers can step in and connect these clients with investors and creditors, whether they are individuals or banks, to help finance a turnaround. Our advisory services also include recommendations on how to best reallocate current assets. To learn more about how to secure capital for turnarounds, contact us.

 

Securities Issues

If a sports-based company seeks to raise capital or dilute ownership, it has the option of issuing stock. The process of extending securities issues is fairly complex and requires detailed financial information preparation and approval, from the Securities Exchange Commission in the case of public security issues. Our network of relevant sports investors is a key starting point in acquiring capital investments, and our understanding of the sports industry allows us to address concerns specific to the space. In the case of public offerings, Park Lane is well-versed in meeting with clients and producing financials, taking the requisite steps to get SEC authorization, and selling the stock to institutional investors prior to the initial or secondary public offering. Clients can also choose to issue private securities, in which case our team drafts a Private Placement Memorandum and does not employ mass-marketing tactics. Our professionals are also equipped to handle issues of preferred stock, convertible stock, or debt agreements. Park Lane’s accurate valuations and strong reputation in the industry allow us to raise a desirable amount of capital for our clients through our securities issues.

 

Sell a Baseball Team

Our bankers have guided various professional baseball clients through the process of selling their baseball team. We have done sell-side advisory for many baseball team owners over the years to help select a buyer, value the team or specific assets, and close the transaction. Our professionals have worked with the MLB and minor league teams, and are able to advise independent league teams as well. From due diligence and qualifying target identification to setting agreeable terms and conditions, Park Lane has the resources to match a perfect buyer to a specific seller and get team owners a desirable price in the sale of their baseball franchise.

 

Sell a Basketball Team

Park Lane has substantial experience advising owners hoping to sell a basketball team. Our sell-side advisory team has helped various basketball teams to select a buyer, value the team or specific assets, and close the transaction. Our professionals have worked with the NBA and ABA, and are equipped to support transactions within smaller leagues as well. From due diligence and qualifying target identification to setting agreeable terms and conditions, Park Lane has the resources to match a perfect buyer to a specific seller and get team owners a desirable price in the sale of their basketball franchise.

 

Sell a Football Team

At Park Lane, our team offers strong advisory services for clients hoping to sell a professional football team. We have deep connections to American football, with numerous ties to players, owners, and executives. Our sell-side bankers have advised many team owners in selecting a buyer, valuing the team or specific assets, and closing the transaction. Our professionals have worked with the NFL, AFL, and af2. From due diligence and qualifying target identification to setting agreeable terms and conditions, Park Lane has the resources to match a perfect buyer to a specific seller and get team owners a desirable price in the sale of their football franchise.

 

Sell a Hockey Team

The Park Lane advisory team benefits from a solid history of assisting owners in selling professional hockey teams. Our bankers have performed sell-side advisory for NHL, ECHL, and IHL owners over the years. We are well-versed in selecting a buyer, valuing the team or specific assets, and closing the transaction. Our team has a proven track record with major hockey clients, with whom we have enjoyed longstanding relationships and continued business. From due diligence and qualifying target identification to setting agreeable terms and conditions, Park Lane has the resources to match a perfect buyer to a specific seller and get team owners a desirable price in the sale of their hockey franchise.

 

Sell a Soccer Team

Park Lane soccer connections span from the MLS to international leagues, and our geographically dispersed bankers are more than capable in advising team owners on selling a professional soccer team. Our sell-side advisory business for professional soccer clients includes locating a buyer, valuing the team or specific assets, and closing the transaction. Several of our professionals have been involved with soccer for many years and specialize in the soccer space of sports finance. From due diligence and qualifying target identification to setting agreeable terms and conditions, Park Lane has the resources to match a perfect buyer to a specific seller and get team owners a desirable price in the sale of their soccer franchise.

 

Sell a Sports Team

Due to bearish economic environments or individual circumstances, sports team owners may want to sell high on their investments, liquidate their assets, or shift their business focus to other endeavors. In these situations, owners may look to sell their team or at least a minority ownership stake. At Park Lane, our team boasts expertise in sell-side advisory for sports industry clients. We have advised many team owners over the years in selecting a buyer, valuing the team or specific assets, and closing the transaction. Our professionals have worked with all the major sports leagues as well as smaller, lesser-known sports leagues. From due diligence and qualifying target identification to setting agreeable terms and conditions, Park Lane has the resources to match a perfect buyer to a specific seller and get team owners a desirable price in the sale of their sports franchise.

 

Sell-side Advisory

Park Lane is an established presence in a sports-related sell-side advisory. Owners and companies may want to generate liquidity, capitalize on high valuation multiples due to a strong market, recapitalize management structure, or sell off an ownership stake or divestiture. Our team executes every stage of the sale, from client consultation and document preparation to marketing efforts and pricing negotiations. Sell-side valuations are fair and accurate, as we work diligently to analyze the numbers before calling on our substantial network of investors to find the right match. Park Lane’s sell-side advisory team will cover all the bases until the deal closes and beyond.

 

Short-Term Fixed Income

Short-term bonds are meant to generate a steady flow of cash in the form of interest payments while keeping a low-risk level. The terms of these fixed income products usually range anywhere from 90 days to 5 years. In addition to interest payments, investors look for a healthy gain from an overall appreciation of the bond price. Short-term fixed income issuers can include federal, state, and local governments, as well as large to small corporations.

 

Small-Cap Equity

Market capitalization, which is calculated by multiplying the company’s current share price by the number of outstanding shares, is a proxy for a stock’s size. A company is considered small-cap if its market capitalization falls between $200 million and $2 billion. Small-cap firms typically feature tremendous growth potential, but they may also pose a greater risk to investor portfolios.

 

Special Situations

Special situations are periods of financial concern that may necessitate distressed M&A advisory or other restructuring methods. If a sports industry client faces an alarmingly high debt-to-equity ratio or bankruptcy looming in the future, Park Lane can advise on leveling out the balance sheet through adjustments of capital structure or other strategic alternatives. Special situations may occur due to macroeconomic or industry downturns, an outdated business model, or changing management structure. Whether the best option is to seek a potential buyer for an acquisition or divestiture, streamline operations, refinance existing debt, or prepare for litigation, our team has substantial experience with distressed situations in addition to sports industry expertise. Our bankers have a proven propensity for negotiation and deal closing in special situations.

 

Sports Business Research

In addition to Park Lane’s sports finance research that focuses on progressive financial advisory in the sports market, we also conduct sports business research. Sports business research is done primarily in our dealings with sports-related companies for purposes of due diligence. Our team keeps abreast of sports industry news, regularly reading Sports Business Journal, league publications, and countless articles from a myriad of sources online and in print. Park Lane also maintains a blog circulating news and pending sports transactions. We believe that in order to meet and exceed our clients’ expectations, it is our duty to know everything within reach about the market in question. If a major sporting goods company is on the verge of acquiring a faltering competitor, or if there is considerable potential for sports-related business growth in the healthy living space, our sports business research presents us—and our clients—with the appropriate background information.

 

Sports Finance

Park Lane specializes in sports finance, be it teams, leagues, or sports-related businesses. Sports finance involves traditional investment banking services catered to the sports industry. At Park Lane, our experience and expertise with sports finance is demonstrated in our M&A advisory, capital raising, restructuring, and financial advisory services. We match prospective buyers to prospective sellers, work to streamline the process of acquiring additional funds and investments and consult our clients on the nature of the sports industry and its changing facets.

“Once we found Park Lane, our doubts of retaining a prominent investment bank with specialized expertise to support sports finance transactions were put to rest.”

–Jason Monkarsh, FIYJBF Investors LLC

 

Sports Finance Advisory

Though there are countless investment banks of varying size that provide virtually any financial service imaginable, there are few that concentrate on sports finance advisory specifically. Rather than spread our resources thin in an attempt to overextend the reach of our services, Park Lane specializes in a defined space with which we have a significant background: the professional sports industry. Our team offers a host of services, including M&A advisory, corporate finance, financial advisory, and restructuring.

The following are some of the sports finance advisory services that Park Lane extends:

Corporate Finance

  • Debt Financing
  • Equity Financing

Mergers & Acquisitions

  • Sell Side
  • Buy Side

Financial Advisory

  • Valuations
  • Business Development
  • Consulting
  • Research

Restructuring

  • Divestitures
  • Turnarounds
  • Bankruptcy Management
  • Liquidation

 

Sports Finance Research

The professional sports industry is constantly evolving, with new sports and businesses accommodating changing lifestyles and attitudes in the market. In the past several decades, we have seen the rise of extreme sports and mixed martial arts, for instance. Consequently, sports finance research and sports business research are major components of our work at Park Lane. Our professionals consistently conduct research not only on the sports industry, but also on cutting-edge financial techniques and vehicles that give our clients the maximum range of available services. Since sports finance can involve more specific considerations than general finance, such as public financing issues with a stadium, research is conducted meticulously and thoroughly. Our bankers keep tabs on competing sports investment banks and often work alongside them, staying informed of relevant happenings in the market. Our sports finance research is crucial in allowing us to be as prepared as possible for our clients.

 

Sports Industry

The sports industry, on which Park Lane concentrates, is comprised of professional sports leagues, sports teams, high net worth investors, investing groups, and sports-based businesses. If a league seeks better long-term financial viability, we can evaluate its stability and take necessary steps such as reworking the financing terms or providing capital adequacy opinions. If a team owner is looking to sell an ownership stake or the team outright, Park Lane has proven adept at locating buyers and structuring deal terms. If an investor group wants to secure a loan to gain approval to purchase a sports team, we can facilitate the procedure. If a nutrition company hopes to get venture capital funding to increase cash for operations, our team can identify relevant investors and take care of the fine print.

Our team has built strong sports industry connections, having worked with the NHL, NFL, NBA, MLB, and MLS, among other leagues.  Sports-related businesses with which we have collaborated include fitness and exercise companies, motivational speaker organizations, sports apparel brands, and sports digital media companies. We have formed countless relationships with influential investors motivated to maintain a presence in the sports industry. Park Lane assists a diverse scope of clients with their most pertinent sports finance issues.

 

Sports Investment Banking

Park Lane offers a wide range of sports investment banking services to the exclusive sports industry. Whether the client is a team or league, an investor or group of investors, or a sports-related business, Park Lane has the capabilities to address a multitude of financial needs. Our sports investment banking team can provide advisory for mergers and acquisitions, determine the value of a team or business, or restructure debt terms in times of financial distress or bankruptcy concerns. We can help raise capital through loans, equity investments, and debt financing. Park Lane also aids in research, business development, and assessing the financial strength of your league, team, or business going forward.

Below are the sports investment banking services we provide:

Mergers and Acquisitions Advisory

  • Sell-side Advisory
  • Buy-side Advisory

Corporate Finance & Capital Raising

  • Bank Loans
  • Debt Financing
  • Private Equity Investing
  • Venture Capital Investing
  • Public Financing

Financial Advisory

  • Fairness Opinions
  • Business Valuations
  • Capital Adequacy Opinions
  • Business Development
  • ESOP
  • Research
  • Political Consulting

Restructuring

  • Distressed M&A
  • Asset Divestitures
  • Creditor and Vendor Negotiations
  • Turnarounds
  • Bankruptcy Management
  • Liquidation

 

Sports Licensing

A license is a legal agreement between the owner of a brand or trademark and an entity wanting the right to use the specified brand or trademark. Sports licensing most notably involves team names, sports-related business brands, player names, and family estates. As a prominent player in the field of sports business, Park Lane understands that brand names bestow a high magnitude of importance in the industry. Our team will reliably assist in the protection of brands, logos, and trademarks through the process of sports licensing in order to ensure proper representation.

 

Sports-Related Businesses

Aside from professional sports leagues and teams and high net worth investors, Park Lane collaborates with sports-based businesses to solve pertinent sports finance issues. From apparel brands to sports websites, our bankers advise a variety of companies on corporate finance, mergers and acquisitions, and financial advisory. We work with businesses from every corner of the sports world, including, but not limited to, the following:

  • baseball
  • basketball
  • bowling
  • boxing
  • dance
  • extreme sports
  • fishing
  • fitness and health
  • football
  • golf
  • gymnastics
  • hockey
  • mixed martial arts
  • racing
  • soccer
  • sports digital media
  • sports entertainment
  • surfing
  • swimming
  • tennis
  • track and field
  • wrestling

If your business has some tie to the sports industry and requires financial services, chances are that Park Lane can help. For examples of sports-related business deals we have completed, please see the Transactions page.

 

Stock Swaps

A stock swap is a method in which a business finances an acquisition or takeover. Shareholders of the purchased company swap their stock for a negotiated number of shares in the acquiring company, in the process gaining an advantage by averting a tax on capital gains. Stock swaps are often preferable to cash transactions in times of economic prosperity and, within the sports industry, mostly occur with sports-related businesses. As a leading sports investment bank, Park Lane is able to successfully advise clients in stock swap deals by fairly determining swap ratios and valuating stock prices.

 

Strategic Partnerships

Strategic partnerships can effectively improve the health and growth potential of multiple participating businesses by combining a wide range of assets under one umbrella. Through this method, companies look to enhance long-term growth by synergizing resources and business practices. Park Lane understands the complexity of strategic partnerships and facilitates a smooth negotiation process for all parties in their attempt to achieve improved productivity. Our extensive knowledge of the sports industry will guarantee insightful advice and professional service for our clients throughout the partnering process.

 

Takeovers

A takeover resembles an acquisition, in that it involves the purchase of a business by another. In the sports industry, takeover targets can include sports teams and clubs, leagues, and sports-related businesses. Purchasers, or bidders, look to benefit their own businesses by gaining control of a target. Bidders can include private investment groups, high net worth individuals, and other interested investors. Different types of takeovers include hostile, friendly, and reverse, all of which require distinct approaches. We are capable advisors in evaluating takeover proposals and leading the interaction with shareholders. Park Lane is properly equipped with the right tools to properly guide both parties through takeover proceedings.

 

Value Equity

Finding and investing in undervalued stocks is arguably the most direct way to identify the best equity investors. Adding value stocks to a portfolio is a successful and time-tested investment strategy that has given rise to some of the greatest investors and funds of all time. By buying value equity, investors hope to gain a realizable profit through eventual share price appreciation.

 

Venture Capital Firms

Venture capital funds enable investors to obtain private equity stakes in start-up, small and medium-sized enterprises. At Park Lane, our team maintains many relationships with several well-established venture capital firms. Collaborating with venture firms regularly results in a well-informed perspective on innovation and spaces in the market for growth. Additionally, there is ample opportunity to connect mutual funds, pensions, endowments, foundations, and insurance companies to venture capital funding initiatives. We track the performance of many VCs and are able to give high net worth clients the ability to get a piece of the explosive growth potential and realize an outstanding return on investment.

 

Venture Capital Investing

Our team works meticulously to ensure that our clients acquire financing from the best sources possible. It often makes sense to pursue venture capital financing if a nascent league or burgeoning sports-related business seeks cash to increase maneuverability. Park Lane has relationships with prominent venture capital firms and angel investors that have consistently displayed a strong interest in the sports industry. We can implement early stage, growth stage, or late stage venture capital investments.