Philadelphia businessman David Adelman is buying into the Philadelphia 76ers and New Jersey Devils, purchasing equity previously held by Fanatics CEO Michael Rubin.
Adelman, who is chairman of the development company in charge of the 76ers’ new arena project, is buying a majority of Rubin’s nearly 10% stake in Harris Blitzer Sports & Entertainment, according to people familiar with the transaction. The rest of Rubin’s equity, one of the people said, will be divided among HBSE principals Josh Harris and David Blitzer, and some other LPs.
More from Sportico.com
While specific financial terms weren’t provided, HBSE was valued at approximately $2.5 billion in the transaction, according to multiple sources, less than the roughly $3 billion ascribed to it when private equity firm Arctos Sports Partners bought into HBSE earlier this year. Sportico values the 76ers at $2.67 billion, and the Devils at $750 million.
Adelman is CEO of Campus Apartments, founder of Darco Capital and co-founder FS Investments. In July he was appointed chairman of 76 Devcorp, which will develop the privately funded multipurpose arena at an expected cost of nearly $1.3 billion.
“As part of HBSE’s long-term growth plan, we are aligning and consolidating our investment group to maximize future opportunities,” HBSE said in a statement. “To that end, in addition to his role as Chairman of 76 Devcorp, Philadelphia native David Adelman is now a limited partner at HBSE.”
Rubin, whose Fanatics…
