The National Football League has approved a joint venture between 32 Equity and private equity firm General Atlantic, according to a report. Team owners approved the agreement during a meeting in New York on Tuesday, creating a vehicle designed to target companies in the media, technology, sports, and fan engagement sectors.

League Control and New Financial Structures

Under the terms of the transaction, the NFL will operate as the general partner of the new investment vehicle. This structure allows franchise owners to secure both asset appreciation and carried interest, representing a profit share from the investments that has not previously existed within the league’s business model. PJT Partners advised 32 Equity on the transaction.

The financial mechanics of the vehicle keep these returns entirely outside the scope of the league’s collective bargaining agreement with players. Unlike broadcast rights and standard sponsorship agreements, profits generated by the new fund do not factor into revenue sharing with players under the salary cap. Every dollar of profit generated through the joint venture flows directly to the club owners.

Expansion of 32 Equity Portfolios

The creation of the joint venture follows years of incremental capital expansion for 32 Equity, which was established in 2013 with an initial investment of $32 million—equating to $1 million from each of the 32 franchise owners. The league added $64 million in 2019 and another $160 million in 2022, bringing the direct capital base to $256 million. Franchise owners also approved an additional $32 million allocation late last year to launch a new flag football league.

Pitchbook data shows the existing fund holds stakes across 42 companies, including Fanatics, On Location, Clear, and DAZN through the EverPass partnership. Sumit Varshney directs the platform, reporting to Chief Financial Officer Christine Dorfler. Prior realizations within the portfolio include the 2021 sale of payment software Appetize for $450 million and the 2020 public listing of mobile gaming platform Skillz via a special purpose acquisition company.

Comparative Industry Investment Models

Other major sports organizations maintain corporate venture funds, though none match the scale of the NFL’s operations. The National Basketball Association holds stakes in startups such as Nextiles and Sorare, Major League Baseball has invested in Jomboy Media, and Major League Soccer operates Emerging Ventures with holdings in Sorare, Nobull, SeatGeek, and Fanatics.

General Atlantic, established in 1980, manages roughly $130 billion in capital. Its portfolio includes artificial intelligence firm Anthropic, apparel brand Vuori, Athletic Brewing, and a 49% stake in Mexican football club América acquired in recent months. Both organizations stated in a joint release that the partnership targets long-term growth opportunities across ticketing, hospitality, and digital consumption.

Next Steps for the Partnership

Financial targets and transaction terms for the General Atlantic joint venture remain confidential. The platform will continue evaluating external capital contributions while maintaining its core focus on emerging sports technology and international market expansion.