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Tom Gores acquires minority stake in NFL’s L.A. Chargers: ‘It’s a privilege’

October 21, 2024 | Articles Business Dealmaking Homepage Los Angeles Chargers News

Tom Gores acquires minority stake in NFL’s L.A. Chargers: ‘It’s a privilege’

Platinum Equity Founder and CEO Tom Gores added to his sports portfolio with the acquisition of a 27 percent stake in the NFL’s L.A. Chargers earlier this month.

The Los Angeles Times reports that Gores and his wife Holly bought Dea Spanos Berberian’s 24 percent ownership in the Chargers and one percent each from siblings Dean Spanos, Alexis Spanos Ruhl, and Michael Spanos. Dean Spanos will continue to run the Chargers. The Spanos family holds a combined ownership stake of 69 percent, followed by the Gores family’s 27 percent ownership stake, with others owning the remaining four percent.

The financial terms of the sale were not disclosed, and terms of the transaction do not include a pathway to manage the Chargers.

“It’s a privilege to join the Chargers ownership group and become part of the NFL. I have great respect for Dean’s leadership throughout the NFL community, the Spanos family and its legacy,” Gores said in a statement. “I’m grateful for the opportunity to invest in the Chargers and I look forward to partnering with Dean, Michael and Alexis in our shared commitment to compete for championships. I’m passionate about sports and proud to become part of an organization dedicated to winning on and off the field.”

The Spanos family said: “Faye and Alex Spanos fervently wished that the Chargers would always be a vital part of their family’s legacy. This proposed transaction ensures that the franchise will remain permanently under the control of Dean Spanos and his siblings Alexis and Michael. The entire Los Angeles Chargers family welcomes Tom Gores to our team.”

In addition to his minority stake in the Chargers, Gores’ sports and entertainment holdings are comprised of Pistons Sports & Entertainment and its assets, which include the Detroit Pistons National Basketball Association franchise, the Henry Ford-Detroit Pistons Performance Center, the G-League franchise Motor City Cruise, and the live entertainment company 313 Presents.

The Chargers’ history in professional football dates back to 1959, when the team was founded as part of the American Football League in Los Angeles. The team moved to San Diego the next year. The Chargers won the AFL Championship in 1963 and merged with the National Football League in 1970. Since its entrance into the NFL, the Chargers have won multiple AFC West Division Championships and played in Super Bowl XXIX in 1994.

The Chargers were acquired by Alex and Faye Spanos in 1984, with their son, Dean Spanos taking over management duties in 1993, The Orange County Register reports. He relocated the Chargers back to Los Angeles prior to the start of the 2017 NFL season.

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