The Big 12 Conference is in advanced talks with an investment firm backed by RedBird Capital and Weatherford Capital for a $500 million cash injection, according to a person familiar with the matter.
The deal, via Collegiate Athletic Solutions, known as CAS, follows failed talks earlier in the year for a direct investment into the Big 12, and would mark the first major conference-wide capital deal in major US college sports.
The partnership would offer the 16 member universities a line of credit of roughly $30 million each and is close to being finalized, the person added, asking not to be named discussing private information.
Many colleges are facing mounting financial pressures from rising athlete pay and escalating coaching salaries, driving the demand for upfront capital. Conferences and schools are increasingly looking for funds to be repaid over several years, often secured against future revenue from media rights.
The Big 12 confirmed the negotiations in a statement to Yahoo! Sports, which first reported details of the deal. A representative for the Big 12 could not be reached for comment.
After years of pushing back on institutional investment, deals are now starting to be struck. Big 12 member the University of Utah is in advanced talks for an equity partnership with Otro Capital, which will take an equity stake in Utah Brands & Entertainment, a new for-profit vehicle aiming to boost revenue for the school’s athletics program.
Earlier this year, the Big 12 came close to striking a deal with CAS, but talks faltered at the last stage. This followed failed negotiations with CVC Capital Partners in 2024 for a potential private equity investment of up to $1 billion in exchange for a 15% to 20% stake in the conference.
The Big Ten has also paused negotiations on a $2.4 billion loan from California pension fund subsidiary UC Investments, following opposition from key members like the University of Southern California and Michigan.
Big 12 Commissioner Brett Yormark stated at SBJ’s Intercollegiate Athletics Forum on Tuesday that the league is not planning to sell a stake in the conference. Instead, the Big 12 would consider a partnership focused on business growth.
The search for new capital is considered crucial for the Big 12 to close the financial gap with rivals such as the SEC and Big Ten, which distribute significantly more cash to member institutions.
Numerous colleges, including Kentucky, Clemson and Michigan State are setting up separate commercial vehicles in order to receive outside investment without giving up ownership of their athletics programs. The model follows similar deals among European football leagues, where private equity firms have invested in a vehicle housing media and commercial rights.
The Big 12 has a $2.3 billion media rights deal with ESPN and Fox, running through the 2030-31 season. The six-year contract stabilized the conference post-Texas and Oklahoma’s exit.
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RedBird, led by Gerry Cardinale, manages $12 billion and counts AC Milan, Boston Red Sox and Liverpool FC owner Fenway Sports Group, LeBron James’ SpringHill Co. and regional broadcaster Yes Network among its investments, according to its website. Weatherford Capital is co-founded by Drew Weatherford, a former college football player for Florida State University.
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