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Apollo Nears 16% Stake in Yankees in Reported $2.6 Billion Deal

The package would refinance holding-company debt, supply cash for roster moves, and include convertible preferred stock that may require MLB sign-off.

Overview

  • Reports on Sept. 20–21 say Apollo Capital Management has closed its upfront cash purchase and that sales by limited partners to finish the ownership change are in their final stages.
  • The reported structure combines an immediate 8% equity purchase with preferred shares convertible into another 8% of economic interest after four years.
  • The Steinbrenner family is reported to retain controlling ownership above 60% while selling a small, described 'de minimis' slice of its stake.
  • Yankee Global Enterprises would use the $2.6 billion financing to refinance expensive holding-company bank debt and to provide cash that could be used for player spending and operational needs.
  • The deal would value the franchise at well over $12 billion, could surpass the Dodgers as baseball’s top team by valuation, and may require an MLB waiver because rules cap private equity at 15% ownership.