When you stop and think about it, the Jacksonville Jaguars aren’t the most attractive sports franchise to purchase. They are in the one of the smallest markets in the NFL, they have only made the playoffs two out of the past 10 seasons, and their local fans have not been showing up to games of late. They could become a competitive team with some good luck and a few changes, but at the same time, it’s difficult to see exactly how they’ll do in the future. This is an ideal buy-low franchise.
Yet despite all the non-ideal circumstances swirling about the franchise, owner Wayne Weaver just sold the team to Shahid Khan for $760 million. That is $10 million more than the St. Louis Rams sold for one year ago, and it’s considerably more than similar franchises in other sports. NFL clubs are moneymakers, even the small market ones.
Here are some of the details on the purchase price, provided by Forbes:
In August we said the Jaguars were worth $725 million, last among the National Football League’s 32 teams. But in September Walt Disney-owned ESPN signed a new television deal with the NFL that was 73% more than the previous contract. The Jaguars sale price clearly reflects the boost in television revenue given that the most recent sale prior to the Jaguars were the St. Louis Rams, which were acquired by Forbes 400 member Stan Kroenke in 2010 for $750 million.
Forbes also noted that new owner Shahid Khan used $350 million in dept to purchase the franchise. The deal has been approved by commissioner Rodger Goodell and is expected to get approval from the other team owners with relative ease.
To join in the conversation about all these changes, drop by SB Nation’s blog on the Jaguars, Big Cat Country.