EQT Completes Majority Acquisition
Swedish private equity firm EQT has acquired a majority interest in Australian rugby league club Melbourne Storm. The transaction marks EQT’s first direct investment in a professional sports team. The deal values the National Rugby League club at about AUD150m ($106m) according to a report by the Financial Times cited in Private Equity Wire. EQT declined to comment on the valuation.
Club Background and Ownership
Melbourne Storm was founded in 1998 and remains the only NRL club based in Victoria. Most NRL clubs in Australia are controlled by members or the league itself, making the Storm an unusual target for private equity. The club was previously owned by News Limited, the media group formerly controlled by Rupert Murdoch.
Investment Strategy and Prior Sports Exposure
EQT is making the investment through its mid-market opportunities strategy. The firm previously completed a $1.25bn acquisition of sports education business IMG Academy in 2023, including debt. EQT has also led a $25m investment in the six-a-side Baller League football competition.
Media Rights Environment
The investment occurs amid rising media-rights values for Australian sport. The NRL recently agreed a record AUD5.3bn, seven-year broadcast package with media companies including DAZN’s Foxtel. The Australian Football League has secured a AUD4.5bn broadcast agreement according to Private Equity Wire.
