The day was April 13th, almost three years ago. Tom Benson agreed to purchase the then-New Orleans Hornets from the NBA at a price of $338 Million. Just six weeks later, they won the lottery and the right to draft Anthony Davis. Naturally, the value of the team went up. Or not. Forbes placed the value of the franchise at $340 Million the following January with the Unibrow in tow. Not the kind of return on investment Benson was looking for.
Three first round picks traded out, the incredible development from Anthony Davis, and one ENORMOUS television contract later, Benson's gamble has paid off handsomely.
|Purchased: April 2012||$338M|
Combining this newest figure with the current value of the New Orleans Saints, a cool $1.11 Billion according to Forbes, and Benson appears to be doing quite well for himself. Beyond the increase in value, the team's revenues are up from $116M in 2014 to $131M in 2015. Adding the Smoothie King naming rights have helped.
The Pelicans are also running a profit, and that profit has been increasing. In 2013 Forbes estimated a $3.3 Million profit, $11 Million in 2014, and now it's up to $19 Million. Slashing ticket prices and naming rights, along with an increasingly competitive team, especially at home, have all contributed.
If Benson wants to go ahead and find a way to get me a 192% return on my life savings in 33 months, I'm all ears.