Major investment firms are preparing to commit hundreds of millions, potentially reaching $1 billion, to franchise fees for a new basketball league, with plans to simultaneously establish new teams, according to reports.
The Public Investment Fund of Saudi Arabia (PIF), owner of Newcastle United Football Club and the LIV Golf tournament, is laying the groundwork for a team based in London. Qatar Sports Investments (QSI), which owns Paris Saint-Germain Football Club, intends to create a team in Paris, while RedBird Capital, owner of AC Milan Football Club, is planning a new team in Milan.
Franchise fees will vary based on the size of the market, with the London franchise expected to command the highest price, potentially reaching $1 billion. This significant investment underscores the growing interest in expanding professional basketball’s reach and influence.
Clubs and investment funds interested in joining the “NBA Europe” project have a deadline of March 31st to submit information regarding their proposed investment for a license. The NBA will then evaluate the bids and determine which teams will be admitted into the league.
The planned launch of “NBA Europe” is scheduled for October 2027. The league’s structure will allocate four spots to clubs without existing franchises: one will be awarded to the winner of the FIBA Champions League, and the remaining three will be determined through a separate tournament held in early summer, featuring top teams selected based on country rankings.
Currently, there are no discussions regarding the potential involvement of the EuroLeague. However, recent leadership changes within the EuroLeague, with Chus Bueno replacing Paulius Motiejūnas as CEO, may lead to renewed conversations about possible collaboration between the NBA and EuroLeague.
