By Riley Overend on SwimSwam
Could private investors be the answer to questions of financial sustainability facing the future of college sports? Howard men’s basketball coach Kenny Blakeney thinks so.
Blakeney has reportedly met with private equity investors this summer asking $100 million for a 33% stake in his program. He envisions the money going toward upgrading Howard’s arena ($50 million) and roster ($4-5 million reserved for name, image, and likeness). Further into the future, Blakeney wants the Bison to secure their own television deal or join a bigger conference as an affiliate school — potentially the Big East, as he mentioned in one written proposal.
“I don’t want to have a two-tiered system where we’re not able to compete for the NCAA tournament or the national championship,” Blakeney told the Washington Post. “And from what I’m hearing right now, that is a real possibility, that there’s going to be an NCAA tournament that isn’t going to include everyone else; it’s just going to include those Power Four [conference] universities and maybe the Big East. That’s not what I signed up for.”
Blakeney’s idea involves a three-way revenue split between owners, Howard, and his program. Interest on the program’s share of revenue could even cover annual operating costs instead of depending on the university for funding.
On Tuesday, Howard leadership told ESPN that they have not yet reviewed Blakeney’s plan. The Big 12 and Florida State have reportedly weighed the idea of private equity to assist with their finances, but Blakeney is the first known coach to pursue private equity investment.
In May, the House v. NCAA settlement paved the way for a new revenue-sharing model that will allow schools to share up to $22 million annual with athletes — essentially a salary cap — likely starting in 2025.
Read the full story on SwimSwam: Howard U. Basketball Coach Proposes Selling 1/3 Stake in Basketball Program for $100 Million