Texas billionaire and Carolina Hurricanes owner Tom Dundon reached an agreement to sell a minority stake of the Raleigh NHL team.
Dundon will sell 12.5% of the team at a reported valuation of $2.66 billion, according to Sportico. The deal will bring in three new minority partners, who were not identified.
If successful, the deal would give the Hurricanes one of the highest team valuations in the NHL.
According to Sportico, Dundon is leading a separate group buying the NBA franchise Portland Trail Blazers in a blended valuation of $4.25 billion. With the sale expected to close in the coming weeks, it's unclear whether Dundon is using the NHL sale to accrue liquidity to buy the Trail Blazers.
Dundon bought a majority stake in the Hurricanes in 2018 for $420 million, before taking full ownership in 2021. In the time since, the team has exploded in popularity. Last season, Sportico said, the Canes sold out every game and had the ninth-best average attendance in the NHL. According to Hockey Reference, the average attendance was more than 18,000 fans.
In Dundon’s time as owner, season-ticket revenue rose 227%, corporate sponsorships increased 168% and suite rental revenue has nearly quadrupled. Before this deal, Sportico had estimated the team's value at just shy of $2 billion.
Dundon also has the rights to 80 acres around Raleigh’s Lenovo Center, where the Hurricanes play, to create a mixed-use project. The sports and entertainment district around Lenovo is undergoing major changes, including parking and retail development.
