Tom Gores’ purchase of a 27% stake in the Los Angeles Chargers was approved by NFL team owners Tuesday during the league’s fall meetings in Atlanta.
Gores, who also owns the NBA‘s Detroit Pistons, bought the 24% share held by Dea Spanos Berberian, which includes 9% that is in a family trust that has a 36% stake in the team. He also purchased 1% each from shares owned by Dean Spanos, Alexis Spanos Ruhl and Michael Spanos for estate planning purposes.
“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 60-year-old Gores has a net worth of $11.8 billion, according to Bloomberg. In 1995, he founded Platinum Equity, which has its headquarters in Beverly Hills.
Gores’ purchase comes after NFL owners on Sept. 1 approved allowing private equity funds to buy stakes in teams. However, this is a purchase by Gores and not affiliated with Platinum Equity.
Despite having more than a one-quarter stake, Gores will not have a role in the Chargers’ daily business or a path to a controlling stake. The Spanos family owns 69% of the Chargers with 4% controlled by legacy owners from the franchise’s early days in San Diego.
Alex Spanos bought the San Diego Chargers in 1984, and Dean Spanos took over managing the franchise in 1994.
The approval by league owners ends a bitter three-year fight between Spanos Berberian and her siblings. Spanos Berberian filed a lawsuit against Chargers controlling owner Dean Spanos in 2021 that alleged breach of fiduciary duty by the Spanos Trust and tried to force a sale.
She filed another lawsuit in 2022 accusing her brother of “misogynistic” behavior, “self-dealing” and repeated “breaches of fiduciary duty.”
As part of the sale, Spanos Berberian agreed to resolve her disputes with the family and the franchise.
“Faye and Alex Spanos fervently wished that the Chargers would always be a vital part of their family’s legacy. This ensures that the franchise will remain permanently under the control of Dean Spanos and his siblings Alexis and Michael,” the Spanos family said in a statement.
Source: espn.com