A group led by American businessman William Chisholm has agreed to buy iconic basketball team Boston Celtics for a record $6.1bn (£4.7bn).

The amount will represent the highest ever paid for a North American sports franchise, eclipsing the $6bn purchase of the NFL’s Washington Commanders in 2023, which due to the exchange rate to sterling at the time equated to £4.8bn.

It also topped the $4bn (£3.3bn) sale of another NBA side, the Phoenix Suns, in 2022.

Last year, Forbes ranked the Celtics – who are owned by the Grousbeck family and partner Steve Pagliuca – as the fourth-most valuable NBA team at $6bn (£4.6bn), with the Golden State Warriors first at an estimated $8.8bn (£6.7bn).

Chisholm, the co-founder and managing partner of California-based private equity firm Symphony Technology Group, is from the Boston area and a lifelong fan of the Celtics, who won a record 18th NBA championship last year when beating the Dallas Mavericks.

“Growing up on the North Shore and attending college in New England, I have been a die-hard Celtics fan my entire life,” he said.

“I understand how important the Celtics are to the city of Boston – the role the team plays in the community is different than any other city in the country.

“I also understand that there is a responsibility as a leader of the organisation to the people of Boston, and I am up for this challenge.”

Wyc Grousbeck and the current ownership group purchased the Celtics for $360m (£277m) in 2002.

Grousbeck is set to remain in his role as chief executive and governor until the end of the 2027-28 season, before Chisholm takes control of team operation

SIMILAR ARTICLES

NBA’s Boston Celtics sold to private equity investor at record-breaking $6.1bn valuation

A consortium led by private equity investor William Chisholm has agreed to take a majority stake in the Boston Celtics basketball franchise at a $6.1bn valuation, making it the most expensive US sport team ever sold. The deal, which tops the $6.05bn valuation buyout tycoon Josh Harris paid in 2023 for the Washington Commanders franchise in the National Football League, could increase over the next three years under the terms of the transaction, said people briefed on the matter.

The Celtics are one of the best-known brands in sport. The team, which features multiple young star players, including Jayson Tatum and Jaylen Brown, won a record-breaking 18th NBA Championship last year, nudging one ahead of their longtime rivals, the Los Angeles Lakers. Chisholm, co-founder of private equity firm STG, has described himself as a “diehard” Celtics fan. He said on Thursday that the “role the team plays in the community is different than any other city” in the US.

“I also understand that there is a responsibility as a leader of the organization to the people of Boston, and I am up for this challenge,” he added. Sixth Street, the private equity firm led by former Goldman Sachs partner Alan Waxman, is among the members of Chisholm’s consortium. The Celtics are the latest in a number of sports deals for Sixth Street, which is already an investor in rival NBA franchise, the San Antonio Spurs. Earlier this week, Sixth Street agreed to buy into the San Francisco Giants baseball team. Two people with knowledge of the matter said Sixth Street bought a roughly 10 per cent stake.

One of those people said the deal valued the Giants at roughly $3bn. Sixth Street has also invested in Spanish football club FC Barcelona’s broadcast rights and has a partnership with rivals Real Madrid. Its portfolio also includes US women’s soccer team Bay FC. Bruce Beal, president of real estate developer Related Companies, and existing Celtics backer Rob Hale are also part of the Chisholm’s consortium.

Boston Basketball Partners, which is led by Wyc Grousbeck , put the team up for sale last year. The group bought the Celtics for $360mn in 2002. Grousbeck said that Chisholm was “a natural choice to be the next governor and controlling owner” of the Celtics. “Quite simply, he wants to be a great owner.

He has asked me to run the team as CEO and governor for the first three years, and stay on as his partner, and I am glad to do so,” Grousbeck said. Stephen Pagliuca, an existing Celtics co-owner and rival bidder, said in a statement that he was “saddened” his group’s bid was not selected. “I will never stop being a Celtic, and if the announced transaction does not end up being finalised, my partners and I are ready to check back into the game and bring it home,” he said. The deal is subject to approval by the National Basketball Association.