Robert Kraft to sell minority stake in the Patriots at $9 billion valuation, per report

The Kraft family is set to sell off a small piece of the Patriots at a huge valuation

The New England Patriots are set to become the latest NFL team to sell off a minority stake in the franchise. Robert Kraft and the Patriots have reached an agreement to sell 8% of the franchise to a pair of investors at a $9 billion valuation, according to reports from Sportico, CNBC and others. 

Billionaire Dean Metropoulus will buy a 5% stake in the team, while Sixth Street Partners will take on a 3% stake, pending the approval of the NFL's finance committee and the other owners. The 8% stake at a $9 billion valuation will be worth $720 million, a healthy return on investment for Kraft who purchased the team in 1994 for $172 million. The Kraft family will retain more than 90% of the team in the deal, but continue a trend of NFL teams adding limited partners as franchise valuations skyrocket. 

The Patriots' deal will join three others as part of the discussions at the next league meetings in October. The New York Giants recently agreed to sell 10% of the franchise at a valuation north of $10 billion. The Chicago Bears also recently closed a reported deal to sell just over 2% of the team at an $8.9 billion valuation. And the San Francisco 49ers are reportedly selling just over 3% of the team at an $8.6 billion valuation. 

For many NFL owners who bought in years ago, the current boom in franchise valuations provides a huge opportunity for a major return on investment. Few are interested in selling outright, but teams once owned by a single owner and family are adding in partners to both help with the rising costs of owning a team and bring in a large cash windfall at the same time.