The Business of Basketball

Here’s Why LeBron James Invested Millions Into The PGA, Professional Golf

LeBron James the Los Angeles Lakers superstar and one of the league’s wealthiest players recently invested about $3 billion in the PGA Tour in February 2024 along with Drake (rapper) and Chris Pratt (Hollywood actor).

The PGA is the organizer of the major men’s professional golf tours in the United States and North America. So, the PGA signed a contract with a group of investors led by the American company Fenway Sports Group (its most famous assets are the English football club Liverpool and the Boston Red Sox baseball team), who agreed to allocate about $3 billion to the series. It is noteworthy that half of this amount is distributed among the players in the form of shares, which will allow them to get some profits in the future.

Nodar Giorgadze shares the view that the participation of James and his partners provides important additional capital that will allow the PGA to compete with LIV Golf and raise the profile of their tournaments. The top player has already begun to take part in marketing activities. Whether this will increase interest in golf tournaments on the part of $20 deposit bookmakers can be assessed very soon. 

Why Did LeBron James Invest In the PGA?

Why did LeBron invest in the PGA?  He saw an opportunity. James is already an NBA champion four times over, the NBA Finals MVP four times, and the league’s leading scorer in both the regular season and NBA playoffs. LeBron participated in 16 All-Star Games and was named their Most Valuable Player 3 times. The man knows excellence when he sees it. 

Moreover, Gamblorium experts remind about his historic achievement – the first player in league history to score 40,000 points. In February 2023, James moved into clear first place in the NBA according to points scored. He surpassed the achievement of Lakers center Kareem Abdul-Jabbar (38,387). In the fall of the same year, James became the sole record holder for the most time spent on the court in NBA matches.

It’s an open secret that James has a lot of power and decision making power within the Lakers organization. It’s understood that no changes occur without his approval.

LIV Golf VS PGA

The LIV Golf series appeared in 2022 with the support of the PIF, as opposed to the PGA, which for many years was an absolute monopoly in golf. Also, the LIV Golf Series wanted to attract the strongest players – they were lured with contracts worth $100+ million. One of the golf legends, Tiger Woods, received an offer of $700–800 million, but he wanted to stay in the PGA. But many star players could not resist the temptation! This provoked a great scandal. Thus, the PGA refused access to its tournaments to all participants of the LIV Golf Series.

The PGA Tour has also been negotiating with PIF for some time. In July 2023, The Guardian reported that the PGA Tour, LIV Golf, and DP World Tour would merge into one commercial entity under PIF. This decision was supposed to end the feud between the PGA Tour and LIV Golf. But since then, no new details have emerged.

Mutually Beneficial For All Parties

In September 2022, the Financial Times reported that Yankee Global Enterprises, the parent company of the New York Yankees baseball team, started a partnership with Los Angeles-based investment firm Main Street Advisors. This was done to enter as minority investors in the Italian football club Milan. Main Street Advisors includes LeBron James and Drake, among others.

With the deal, James expanded his sports team ownership portfolio – he has stakes in Liverpool, the Pittsburgh Penguins, and the Boston Red Sox. Also, together with Drake, LeBron invested in the company StatusPRO, which deals with technologies in the field of sports health. In addition, the basketball player is an investor in projects such as the fast food chain Blaze-Pizza, the fitness equipment manufacturer Tonal, and the taxi aggregator Lyft.

At the beginning of 2024, Forbes estimated LeBron James’ total wealth worth more than $1 billion. In the latest ranking of the world’s highest-paid athletes, the 39-year-old basketball player takes 4th position with an income of $119.5 million. Meanwhile, LeBron says that he doesn’t need much and glamor doesn’t interest him. He’s just happy to have basketball in his life. Moreover, in an interview with Larry King, James said that sports protected him from a life of crime and drug trafficking. LeBron spent most of his childhood in poor areas of the city, where crime and violence flourished. Now he’s living in houses all over the country

If this recent investment pays off like the other investments have, LeBron will shoot up the list of the all-time wealthiest athletes.

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