Copyright The Hollywood Reporter
One of the biggest investment banks in the country is getting into the talent agency business. Goldman Sachs on Tuesday announced a deal that will see it acquire a majority stake in Excel Sports Management, the agency that represents clients like Tiger Woods, Caitlin Clark, Derek Jeter and Nikola Djokic. Front Office Sports reported that the deal values Excel at nearly $1 billion. The deal was made by Private Equity at Goldman Sachs Alternatives, which functions as a private equity firm inside of the investment bank, investing in and acquiring companies in certain areas. Goldman, it should be noted, has been active in the sports space, as an advisor to owners, founders and leagues. It launched a dedicated sports advisory business in 2023. “We have been impressed with Excel’s position at the heart of the fast-growing sports ecosystem and believe in their sustained, long-term success,” said Leonard Seevers, partner in private equity at Goldman Sachs Alternatives. “Excel capitalizes on the combination of deep consumer loyalty to sports franchises, premier brands, and continued innovation in fan engagement, and we are excited to partner with Jeff and the rest of the Excel team to unlock new possibilities across the broader industry. We are confident that we can deliver our One Goldman Sachs approach to be a value-add partner in Excel’s next chapter of growth ambitions, leveraging our expertise as a global investment bank, premier wealth manager and one of the world’s largest investment managers.” “Goldman Sachs is an exceptional partner for Excel Sports Management as we advance into our next stage of growth,” added Jeff Schwartz, founder and CEO of Excel Sports Management. “Our organizations share a mutual commitment to excellence and integrity, and both define success by the success of our clients. Goldman’s access, expertise, and extensive resources will provide a powerful platform to accelerate Excel’s expansion and enhance the value we deliver to our clients worldwide.” While the deal gets Goldman into the agency business, there’s no sign that it is interested in traditional entertainment agenting. Sports has become a big business, and the demand for investment in the sports ecosystem is extraordinarily strong, so a sports-focused agency can plug into that larger strategy. Sports has become big business for traditional agencies too, with CAA, UTA and WME all having large sports advisory businesses. WME has had to divest its football and basketball representation businesses to avoid conflict of interest rules with those leagues, but is still a major player in other sports. Shamrock Capital, the private equity firm that is active in the media, entertainment and sports space, will exit as an investor in Excel as part of the deal. Moelis & Company served as exclusive financial advisor and Katten Muchin Rosenman LLP served as legal advisor to Excel on the transaction. Goldman Sachs & Co. LLC served as exclusive financial advisor and Latham & Watkins LLP served as legal counsel to Goldman Sachs. LionTree Advisors served as financial advisor to Shamrock Capital on the transaction.
