The WNBA may be preparing for a major financial pivot just four years after selling a minority stake to stabilize its future.
According to multiple sources familiar with the league’s business strategy who spoke with Front Office Sports, the WNBA is now exploring the possibility of buying back the 16% equity stake it sold in early 2022 for $75 million. While the league declined to comment publicly, insiders say discussions remain preliminary and no formal structure or financing plan has been finalized.
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If the buyback moves forward, it would represent a striking reversal – and a powerful signal of just how rapidly the league’s value and confidence have grown.
From survival mode to strategic control
In the aftermath of the pandemic-affected 2020 season and lingering financial uncertainty in 2021, the WNBA found itself in urgent need of capital. Commissioner Cathy Engelbert spearheaded a historic investment round, which the league described at the time as the largest capital raise ever for a women’s sports property.
The $75 million infusion was earmarked for brand growth, marketing expansion, global outreach, and infrastructure improvements. The investor group was notable not only for its size but also its profile, featuring high-profile figures and organizations such as Pau Gasol, Condoleezza Rice, Nike, and several current WNBA and NBA team owners.
At the time, reports suggested the deal valued the WNBA at $1 billion, but a source with direct knowledge of the transaction later told Front Office Sports the more accurate post-investment valuation was closer to $475 million.
That number now appears outdated.
Since the investment, team valuations have surged, expansion fees have skyrocketed, and the league has announced aggressive growth plans. The WNBA will expand to 18 franchises by 2030, adding five new teams in the coming years. The most recent expansion franchises – Cleveland, Detroit, and Philadelphia – each reportedly paid $250 million to join the league, a figure that underscores how dramatically market perception has shifted.
Ownership complexity and labor implications
While financial momentum is clearly trending upward, the league’s ownership structure remains complicated. Historically, the WNBA began as an NBA-operated entity in 1997, with each team owned by its NBA counterpart. That model changed in 2002, when independent ownership was introduced and non-NBA markets began joining the league.
Before the 2022 capital raise, ownership was split evenly: 50% held by NBA owners and 50% by WNBA owners. The investment round diluted both sides to 42% each, leaving outside investors with the remaining stake. Some individuals now hold overlapping stakes as NBA owners, WNBA owners, and equity investors – creating what analysts describe as a tangled governance structure.
Stanford economics professor Roger G. Noll believes this complexity could limit the league’s next phase of growth.
“The NBA has always viewed the WNBA as a sideline,” Noll told Front Office Sports. “They’ve never thought of it as a standalone line of business that they’re trying to maximize the value of. It was a way to use the arenas in the summer when they’re not being used.”
He added:
“The question is, now that it’s clear everybody that is sentient knows women’s basketball has arrived, is it possible for the WNBA to continue to exist in that environment? Or will someone take it away from them?”
A buyback could reshape the league’s future
The timing of these buyback discussions also intersects with ongoing collective bargaining negotiations between the WNBA and the players’ union (WNBPA). Talks have stalled for more than a year over how league revenue should be shared.
The union has proposed players receive 30% of gross revenue and that the salary cap rise to $10.5 million per team. The league’s most recent proposal instead offered approximately 70% of net revenue and a salary cap closer to $5 million.
Many observers believe simplifying the ownership structure – potentially by reclaiming equity – could give the league more flexibility in its financial model and long-term planning.
Whether the WNBA ultimately buys back the 16% stake or not, one thing is undeniable: the league that once needed emergency capital is now operating from a position of strength, confidence, and rapidly growing value.
