Dyal HomeCourt, a fund dedicated to purchasing minority stakes in NBA franchises, now has assets of $283 million, a 77% increase from what the fund held a year ago.
Assets for the fund, which is part of publicly traded asset manager Blue Owl Capital Inc., were disclosed Friday afternoon in a quarterly regulatory filing with the Securities & Exchange Commission. According to the document, Dyal Homecourt’s fund had assets of $160 million at the end of 2021’s third quarter. About a third of the Homecourt assets are fee-generating, meaning Blue Owl gets paid for its efforts, according to the filing. It’s not clear from the document how much of the rise in assets is appreciation of the fund’s team stakes and how much is new money investing in the fund.
A representative for Blue Owl didn’t respond to a request for comment.
The NBA in 2019 approved Dyal to be the first fund allowed to buy limited partner stakes in its teams. While other private equity firms have since also been allowed to invest, Dyal is exempt from a rule limiting the number of teams a firm can buy into. To date, Dyal is known to be part owner of the Atlanta Hawks, Phoenix Suns and Sacramento Kings.
The NBA strategy is just a sliver of the firm’s overall business. Last year Dyal merged with Owl Rock Capital to form Blue Owl, which now has about $71 billion in assets under management.