Apr
10

Will Relativity Sports See Any Of New $115 Million Revolving Line of Credit?

Relativity just got a nice infusion of cash, but will Relativity Sports see any of it?

Relativity just got a nice infusion of cash, but will Relativity Sports see any of it?

On April 2, The Hollywood Reporter had a front page story titled, “Relativity Secures $115M Revolving Line of Credit.”  I did not hear a peep from a person (save one) in the sports industry, but should it at least be on sports business professionals’ radar?  While everyone was fawning over Jay-Z entering the world of sports agency, there was Relativity, which now has a sports department aptly named Relativity Sports, opening up the cash register.

The article says that the $115 million line of credit is expected to expand to $300 million in the near future, and cites CEO Ryan Kavanaugh’s expectation of heightened revenue due, in part, to the sports division.  There is really no focus on Relativity Sports other than its inclusion in the piece of the revenue pie, but with such a large infusion of cash, competitors have to at least have concern with the expansion of an already sizable war-chest.

  • http://www.SportsNetworker.com/ Sports Networker Del

    Relativity Sports has a sizable amount of big name Professional Athletes, it would be shame if they didn’t use some of those millions from their new credit line to “court” new talent. It looks like the bulk of the money will go towards paying off debt, but the Sports division shouldn’t be ignored. Hypothetically if Jay-Z did sell his share of the Nets, it could be pretty easy for Roc Nation Sports to take away NBA clients from a lot of agencies, including Relativity Sports.