Private equity platform Arctos Sports Partners has formed a new special purpose acquisition company (SPAC), with the aim of raising US$275 million.
The blank-cheque firm, called Arctos NorthStar, hope that with the money raised, an investment into a sports property or sports-adjacent business can be achieved.
North-American business executives will be leading the SPAC, including Kroenke Sports & Entertainment’s Tomago Collins; Arizona Coyotes president and chief executive Xavier Gutierrez; and Ticketmaster chairman Jared Smith.
The company's filing with the US Securities and Exchange Commission (SEC) stated that it will target 'sports teams, leagues, data and technology, digital infrastructure, health and wellness, esports, betting, ticketing, agencies, services and hospitality' as possible investments.
Arctos is led by co-founders Ian Charles and David O'Connor who will act as director and chairman respectively for Arctos NorthStar, whilst Theo Epstein will work as chief executive for the SPAC.
SPACs have become one of the most popular investment trends over the last few months within the sports and entertainment industry, having also seen Billy Beane team up with Redball Capital Partners founder Gerry Cardinale to form the Redball Acquisition Corp.
Executives from Major League Baseball (MLB) franchise, the Chicago Cub's teamed up to form The Raine Group SPAC to acquire a professional sports team in the future.
Author: Jake Wilkin