Alan Waxman Backs Patriots Stake, NWSL Record Fee

Alan Waxman, partner at alternative-investment firm Sixth Street, confirmed in a Bloomberg interview published May 14, 2026 that the firm has taken a stake in the New England Patriots and has been active across professional sports assets, including the NBA and the NWSL (Bloomberg, May 14, 2026). The disclosure follows an acceleration in private capital allocations to sports franchises that, by several measures, have outpaced returns from traditional private equity buyouts over the past five years; Sixth Street itself reported approximately $60 billion in assets under management in 2024 (company filings/press coverage). Waxman highlighted international growth initiatives in the NBA and justified a "historic" NWSL expansion fee in terms of long-term revenue and brand lift rather than short-term cash-on-cash metrics (Bloomberg, May 14, 2026). For institutional investors assessing allocations to sports and media rights, the timing of Sixth Street’s moves coincides with continued appreciation in franchise valuations and a step-change in monetisation via streaming and global sponsorship sales. This note unpacks the Bloomberg interview, places Sixth Street’s sports investments in context with public and private-market data, and evaluates the implications for alternative-asset strategies.

Context

The Bloomberg profile with Alex Rodriguez and Jason Kelly aired on May 14, 2026 and provides primary-source comments from Alan Waxman on Sixth Street’s strategic pivot into team ownership and league-level investments (Bloomberg, May 14, 2026). Sixth Street’s reported AUM of roughly $60 billion as of 2024 positions the firm among large, diversified private-credit and direct-investment managers that have the balance-sheet flexibility to pursue minority stakes in high-profile sports franchises and media-rights platforms. The firm’s model—combining perpetual-capital structures and credit lines—differs materially from traditional buyout funds that must realise investments on a fixed timetable; that structural difference shapes how Sixth Street values illiquid sports assets and negotiates expansion fees or revenue-sharing arrangements.

Sports franchises have moved from niche alternative investments to core portfolio components for some allocators: Forbes’ team-valuation series and league financials indicate that median franchise values have increased materially post-2020, driven by media-rights uplifts and private-liquidity events. League economics vary: the NFL retains the highest domestic media valuations, the NBA is the fastest-growing internationally, and women’s leagues such as the NWSL are attracting record expansion fees after securing streaming deals and sponsorship uplift. These forces underpin Sixth Street’s rationale for pursuing fee-intensive entry into the NWSL and for taking minority stakes in larger franchises like the Patriots where gate revenues are complemented by local media, sponsorship and venue monetisation.

From a governance standpoint, minority stakes—if structured with governance rights—offer financial sponsors a pathway to compound returns via commercial optimisation rather than relying solely on multiple expansion. Waxman’s comments in the Bloomberg interview emphasised operational levers (international tours, media packaging, sponsorship aggregation) that can change revenue growth trajectories without altering the macro franchise risk profile. For institutional investors, the crucial questions are valuation discipline, contract design for media and sponsorship, and downside protection when league economics or broadcast markets correct.

Data Deep Dive

Bloomberg’s May 14, 2026 interview is the primary source for Waxman’s statements about Sixth Street’s sports exposures (Bloomberg, May 14, 2026). Sixth Street’s public commentary and media reporting cite an AUM figure near $60 billion as of 2024; that scale allows it to make sizeable minority investments and to provide bespoke financing solutions to franchises and leagues (company filings/press coverage, 2024). League-level data underscore the investment case: the NBA reported sequential international revenue growth and an expanding global TV footprint in 2024–25, while the NWSL finalised multiple media deals that increased league-wide broadcast reach compared with 2022; those contractual improvements are the proximate drivers behind what commentators described as a "historic" NWSL expansion fee in 2026 (league releases, industry reports).

Comparative performance data: according to Forbes and league reports, average franchise valuations across the four major U.S. leagues rose in the low double-digits YoY in the period 2021–2025, with variance by league—NFL valuations showed stability with high multiples to revenue, the NBA displayed the highest international revenue CAGR, and the NWSL posted the fastest relative expansion from a lower base. Using these datapoints as a comparator, Sixth Street’s allocation to sports should be viewed against private-credit returns and direct infrastructure investments that have delivered mid-to-high single-digit IRRs net of fees for large allocators in recent vintage years. The comparative lens suggests sports assets are not universally superior but can offer differentiated cashflow profiles tied to media rights and consumer engagement metrics.

Valuation mechanics for franchise stakes are critical: unlike listed equities where multiples reprice daily, franchise transactions are bilateral and often include non-economic governance concessions, lockups and revenue-sharing overlays. The pricing of the Patriots stake—though not fully disclosed in Bloomberg’s interview—will reflect stadium economics, recent team performance, local media contracts and ancillary real estate or sponsorship deals. For allocators, diligence should stress scenario modelling that isolates media contract renewals, sponsorship swing factors and local market ticket elasticity under recessionary stress.

Sector Implications

Sixth Street’s disclosures signal broader interest from large alternative managers in sports assets that were historically the preserve of ultra-high-net-worth individuals and family offices. If other balance-sheet players follow, transaction volume for minority stakes and league-level commercial deals could accelerate, tightening spreads for sellers and widening the pool of bidders for high-demand franchises. For incumbent owners this dynamic presents an arbitrage opportunity: they can monetise non-core economic rights while retaining control—a structure that preserves competitive integrity but unlocks liquidity.

For media and broadcast markets, an inflow of sponsor-focused, private-capital-backed teams increases bargaining power versus traditional broadcasters, because investors will push to monetise global fanbases through streaming and bespoke content. The NBA’s international model is a template—international tours, tailored media bundles and localized sponsorships have added incremental revenue streams. The NWSL’s record expansion fee (described in Bloomberg’s May 14, 2026 coverage as "historic") will be a reference point for future female-sports valuations; leagues demonstrating clear media uplift and sponsorship velocity will command premium bid multiples relative to domestic gate-dependent franchises.

Peer comparison: Sixth Street’s approach contrasts with traditional sports investors who rely primarily on capital gains from franchise appreciation. Sixth Street combines credit-like constructs and active commercial optimisation. For strategic allocators, that difference implies varying return drivers—cashflow generation and contractual monetisation versus pure multiple expansion—and necessitates different portfolio allocation and risk-management frameworks. Investors should therefore calibrate expectations: sports stakes may offer lower liquidity and higher idiosyncratic governance risk but can deliver stable recurring cashflows through media and sponsorship if contracts are well-structured.

Risk Assessment

Several downside scenarios merit attention. First, media-rights resets are discrete events that can compress revenue suddenly; an adverse renegotiation could materially reduce projected cashflows. Second, macroeconomic slowdowns reduce corporate sponsorship budgets and discretionary ticket spending, a particular risk for revenue segments that are ticket or hospitality reliant. Third, regulatory and competitive dynamics—league labour disputes, international scheduling conflicts or changes in collective bargaining—introduce event risk that is less easily hedged than conventional credit exposures.

Counterparty and structuring risks also matter. Minority investors must ensure contractual protections for revenue waterfalls, distribution mechanics and exit pathways. Lack of a credible secondary market for sports stakes increases liquidity risk; Sixth Street’s perpetual-capital model mitigates forced-sale risk but does not eliminate pricing risk on exit. Institutional allocators should demand stress-case modelling that includes broadcast contract downgrades, sponsorship revenue contractions and local economic shocks.

Finally, reputational risk is non-trivial. Sports investments are public-facing; teams and leagues carry brand risks that can affect sponsor relationships and municipal partnerships. Institutional investors must weigh active stewardship capacity against the potential for governance friction with operating partners and fan communities.

Fazen Markets Perspective

Contrary to headline narratives that portray sports assets as frothy and uniformly overpriced, Fazen Markets views selective minority stakes—provided they are priced with conservative revenue assumptions and include contractual protections—as a legitimate diversification tool for large allocators. Sports franchises combine stable consumer demand with discrete monetisation events (media renewals, stadium redevelopment, international expansion) that can be modelled as option-like payoffs. Sixth Street’s balance-sheet approach and emphasis on operational levers reduces dependency on pure multiple expansion; that structural feature makes minority stakes functionally closer to infrastructure investments in certain scenarios.

We caution investors against treating league-level enthusiasm as a universal guarantee of returns. The contrarian case: the highest returns will accrue to investors who target leagues and franchises with identifiable media arbitrage (e.g., under-monetised international rights or low-penetration sponsorship bases) rather than simply chasing headline expansion fees. In practice, funds that combine rights financing, active commercialisation and downside protections will outperform passive capital that invests at headline multiples without governance levers. For allocators considering allocations, a tiered approach—pilot direct investments, co-invest tranches, and then scale as operational playbooks prove out—reduces entry valuation risk while capturing early movers’ upside.

FAQ

Q: How liquid are minority stakes in major U.S. sports franchises?

A: Liquidity is limited. There is no public market for most franchise stakes; exits commonly occur via bilateral sales, secondary transactions or strategic transfers to consortiums. Typical hold periods for private sports stakes extend beyond standard PE vintages, making balance-sheet or perpetual-capital structures preferable. Historical precedent shows multi-year to decade-long hold windows between transactions (Forbes/team-transaction histories, 2015–2025).

Q: Do media-rights trends materially change risk-return profiles for investors?

A: Yes. Media-rights uplifts are the single largest determinant of valuation step-ups in modern franchise deals. A successful internationalisation or streaming deal can rebase revenue multiples; conversely, rights renegotiations with lower per-subscriber economics create abrupt valuation compressions. Investors should model multiple media scenarios, including downside renewals and lag effects on sponsorship revenues.

Bottom Line

Sixth Street’s move into the Patriots stake and a record NWSL expansion fee—discussed by Alan Waxman on May 14, 2026—signals institutionalisation of sports assets but requires disciplined structuring and downside protections for long-term portfolio success. Institutional allocators should prioritise rights monetisation, governance safeguards and phased exposure over headline-driven acquisitions.

Disclaimer: This article is for informational purposes only and does not constitute investment advice.