Sale Of Minority Share Gives Raiders Value Of At Least $750M

Davis Receives $150M For 20% Stake In Raiders

Raiders Owner Al Davis received $150M for the 20% share of the team he sold last month to three investors, "placing a value on the franchise of at least" $750M, according to NFL and financial sources cited by SPORTSBUSINESS JOURNAL's Daniel Kaplan.  The three investors are Boston-based Abrams Capital Managing Member David Abrams, and N.Y.-based hedge fund Perry Partners Founder Paul Leff and Managing Dir Dan Goldring. The value of the franchise "is likely even higher ... because majority buyers normally pay a takeover premium, and the team's stadium lease expires after the 2010 season," meaning the Raiders could move. Raiders President Amy Trask said that the minority partnership "includes no option to buy the team" when the 78-year-old Davis dies. Kaplan notes the $750M "would be regarded as one of the lower prices for an NFL franchise," and earlier this season the Jaguars, "another lower-tier revenue team, received offers in that range." The Cowboys, Patriots and Redskins "are thought to be worth" over $1B (SPORTSBUSINESS JOURNAL, 11/19 issue).