Arctos, a specialized investment firm that delivers unique growth and liquidity strategies, thought leadership, and value enhancement services to sports organizations (Arctos Sports) and alternative investment managers (Arctos Keystone), has recently concluded the fundraising for Arctos Sports Partners Fund II (“Fund II”), marking the latest advancement in its premier sports investment fund series.
With a closure that amassed over $4.1 billion from an international array of investors, including top-tier pension and retirement funds, endowments, insurance entities, family offices, and global wealth advisors, Fund II elevates Arctos’ total sports-centric Assets Under Management to an impressive $7 billion. This accumulation, alongside the inaugural Arctos Sports Partners Fund I, forms the largest global collection of institutional investment focused solely on the professional sports sector.
The fundraising initiative for Fund II was exclusively facilitated by the Evercore Private Funds Group, while Kirkland & Ellis LLP offered their legal expertise to Arctos throughout the process.
Ian Charles, who co-founded Arctos and serves as its co-managing partner, emphasized that Arctos is designed to offer more than financial support to its partners, including teams, leagues, and related businesses. Leveraging data-driven analyses and comprehensive operational knowledge, Arctos takes pride in being a reliable ally for prominent sports franchises and investors keen on tapping into this thriving and resilient market. The firm appreciates the confidence placed in it by investors, league officials, team owners, and operators who have elected to collaborate with Arctos.
To date, around 30% of the funds from Fund II have been allocated to a variety of ventures, such as Smith Entertainment Group (owners of the Utah Jazz), Harris Blitzer Sports Entertainment (proprietors of the New Jersey Devils and Philadelphia 76ers), Paris Saint-Germain F.C., and the Aston Martin Aramco Formula One Team. Arctos stands out as the sole institutional backer with the authorization to invest in several teams across major leagues like MLB, NBA, NHL, MLS, international motor sports, and European football leagues.
Doc O’Connor, another co-founder and co-managing partner at Arctos, observed that the appeal of sports as an investment class has surged remarkably over just three years. Arctos positions itself as a pioneering partner for growth and innovation, aiming to reveal new opportunities and redefine the markets it engages in. Following the triumph of Fund II, Arctos is well-placed to lead in the professional sports ownership arena.
