Endeavor to Buy Nine Minor League Teams
Major league baseball remains in a holding pattern. There’s a lockout, the two sides are intermittently negotiating, and nothing can happen until they reach an agreement. That’s major league baseball, though, not all of baseball, and some interesting economic shenanigans are afoot across the minors.
As Baseball America’s J.J. Cooper reported last week, Endeavor Group Holdings is purchasing nine minor league baseball teams: the Gwinnett Stripers, Mississippi Braves, Rome Braves, Augusta GreenJackets, Iowa Cubs, Scranton/Wilkes-Barre RailRiders, Memphis Redbirds, Hudson Valley Renegades, and San Jose Giants; The Athletic’s Daniel Kaplan and Evan Drellich first reported the possibility in October. These transactions aren’t yet final, but they’re very likely to be approved, which will make Endeavor (via new subsidiary Diamond Baseball Holdings) the largest MiLB owner.
Endeavor, a publicly traded company partially owned by private equity group Silver Lake Partners, is already in the business of sports, though not specifically minor league baseball. They own a little bit of everything, from agencies to sports organizations. Their marquee holding is the UFC, but seriously, the list is endless: Professional Bull Riding, Euroleague Basketball, the IMG Academy that turns out baseball prospects, the Madrid Open, the William Morris Endeavor agency. It’s a broad portfolio, much of which is made up of directly-sports-related operations; an arm of the company also sells media rights for the Olympics.
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