Arctos Partners—a Dallas-based private equity firm focused on investing in pro sports franchises—has agreed to be acquired by New York-based investment firm KKR in a deal that would value it at $1 billion, according to Bloomberg News. Incentives for Arctos’ senior managers could boost that valuation up to $1.5 billion, the report added.

Founded in 2019, Arctos has stakes in teams spanning the top U.S. sports leagues, including the National Football League’s Buffalo Bills and Los Angeles Chargers, as well as in teams across the National Basketball Association, Major League Baseball, the National Hockey League, and Major League Soccer.

In 2024, Arctos closed its Sports Partners Fund II, an iteration of the firm’s flagship sports fund, with more than $4.1 billion in capital commitments from a diverse group of global investors, along with co-investment and parallel affiliated vehicles.

In September, the firm gave individuals the chance to invest in teams themselves by launching a new business line called Arctos Capital Markets. The new platform is dedicated “to identifying and connecting qualified high net worth investors directly with professional sports ownership opportunities,” Arctos said at the time. That announcement brought Arctos’ aggregate sports-related assets under management to approximately $7 billion, the firm said.

Pairing data-backed insights with ‘deep expertise’

Ian Charles, co-founder and co-managing partner of Arctos, said in September that Arctos was “purpose-built to bring more than just capital to our partner teams, leagues, and businesses.”

“By using data science-backed insights paired with deep operational and domain expertise,” he added in a statement, “we’re proud to be a trusted partner for major sports franchises and limited partners seeking access to this robust and durable industry. We’re all very grateful for the support of our investors and the leagues, owners, and operators who have chosen to partner with us.”

Under the KKR deal, Charles will continue to head up Arctos Partners and will receive shares in KKR, along with other top Arctos executives, Bloomberg said—adding that KKR and Arctos are seeking approval of the deal from the leading U.S. sports leagues.

From European soccer to Formula 1 to data centers

Arctos’ portfolio includes investments beyond U.S. sports leagues. In 2024, it claimed to be the only institutional investor approved to invest in multiple teams by MLB, the NBA, the NHL, MLS, global motor sports organizations, and European soccer federations. Its global investments have included stakes in the Paris St. Germain soccer club and Aston Martin’s Formula 1 team.

Through Artcos’ Keystone Real Estate strategy, the firm is also an investment partner in the Element Critical platform, which aims to meet skyrocketing demand for digital infrastructure and AI-driven data processing. The platform includes data centers in the Austin and Houston metro areas, as well as facilities in Chicago, according to a December news release.

Arctos has a team of more than 70 investment and operational professionals with expertise across industries, geographies, and economic cycles. Beyond its Dallas headquarters, the firm also has office locations in New York and London.

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