NBA courts investors for European league with $1B teams

NBA Commissioner Adam Silver is attending regular season games in Berlin and London this week, with both cities among frontrunners to host franchises in a new European league targeting team valuations up to $1 billion.bloomberg
JPMorgan Chase and The Raine Group have met with over 70 potential investors, with the NBA seeking franchise fees between $500 million and $1 billion for a 10-to-12 team league eying an October 2027 launch.sportsbusinessjournal
The league would split revenue 50-50 between current NBA owners and European club owners, with major markets including Paris, Madrid, Barcelona, Milan, Athens, and Istanbul under consideration.sportsbusinessjournal

NBA Pitches Investors on European League With $1 Billion Team Valuations

The National Basketball Association is moving to launch a professional European league, targeting team valuations of up to $1 billion as it courts investors ahead of a potential March approval vote.

NBA Commissioner Adam Silver is expected to attend regular season games in Berlin and London this week between the Memphis Grizzlies and Orlando Magic, with both cities among the frontrunners to host franchises in the new venture, according to Bloomberg. The games, scheduled for January 15 in Berlin and January 18 in London, will coincide with a private investor event called “NBA Next: Europe” aimed at prospective commercial partners and potential team owners.bloomberg

Aggressive Timeline, High Stakes

JPMorgan Chase and the Raine Group have already engaged with more than 70 potential investors, according to Sports Business Journal. The NBA is seeking franchise fees between $500 million and $1 billion, with revenue split 50-50 between the league’s 30 current owners and the new NBA Europe club owners.sportsbusinessjournal

“We’re going to take this to the next level now, start having more specific conversations,” Silver told Amazon’s NBA on Prime in December. “You said you’re interested — exactly what market are you interested in? How would you operate a team? Would you play in an existing venue? Would you build a new arena?”sportsbusinessjournal

The league is targeting an October 2027 launch with 10 to 12 franchises based in major European markets including London, Paris, Berlin, Munich, Madrid, Barcelona, Milan, Rome, Athens, and Istanbul. Twelve teams would hold permanent spots, with four additional clubs qualifying annually through a merit-based process.frontofficesports

Wagner Brothers Return Home

The Berlin game marks a homecoming for Magic forward brothers Franz and Moritz Wagner, who grew up 10 minutes from Uber Arena. The Magic are the most-watched team in Germany on NBA League Pass this season, with viewership up 104% year over year.sportsbusinessjournal

“Playing an NBA game there is pretty special for us, and we’re going to appreciate the opportunity,” Franz Wagner said.nba

The NBA estimates there are 270 million potential basketball fans in Europe, a market the league has described as “untapped”. Interest has come from European soccer clubs such as Manchester City and PSG, existing EuroLeague organizations, and private investors, according to CNBC.cnbc

If bids meet expectations, the NBA hopes to greenlight NBA Europe at its Board of Governors meeting in March.sportsbusinessjournal