More pro sports in Utah? Jazz owner's move brings it closer
John Rogers
Smith Entertainment Group (SEG), the Salt Lake City-based sports and entertainment conglomerate owned by Ryan and Ashley Smith, has taken on a new partner in its quest to grow its base in Salt Lake City. Arctos Sports Partners, based in Dallas and minority owner in a number of professional sports franchises, has made a significant minority investment in SEG, the entities announced.
“SEG and Arctos are bullish on the Utah sports and entertainment market and are aligned in their commitment to the state of Utah, which includes a focus on SEG’s expansion plans, its intention to bring a third professional sports franchise to the state and its goal to build Utah as a premier sports and entertainment center,” Smith Entertainment said in announcing the partnership.
The Arctos partnership includes minority investment across multiple SEG properties, including Major League Soccer franchise Real Salt Lake, the NBA’s Utah Jazz and Vivint Smart Home Arena, home of the Jazz. The Jazz investment has to have approval from the NBA board of governors.
Arctos is a private investment platform focused on professional sports franchises in North American leagues and European soccer. Arctos has invested in more than 20 professional sports groups and franchises including Major League Baseball, Major League Soccer, National Hockey League and the NBA. Its investments include the Fenway Sports Group, owner of the Boston Red Sox; the Chicago Cubs; the Los Angeles Dodgers; NHL teams Tampa Bay Lightning and Minnesota Wild; the NBA’s Golden State Warriors and Sacramento Kings; as well as several European soccer clubs and the Premier Lacrosse League. Arctos took a limited partnership in Real Salt Lake when SEG and David Blitzer purchased the club in January for a reported $400 million.
“My wife Ashley and I are passionate about the state of Utah and are committed to building organizations that can be a unifying force in our community. Few things do that as powerfully as sports,” said Ryan Smith, chairman of Smith Entertainment Group. “We are excited to partner with Arctos. They are committed to Utah and to investing in this community and our sports teams and facilities. As SEG continues to build out the professional sports landscape in the state, the Arctos partnership brings strong commitment to Utah sports and a deep connection across all major sports leagues.”
“We believe in Utah and all the amazing things happening in the state and we believe SEG is poised to be the next big sports and entertainment group. Ryan Smith has an eye for opportunity and innovation, and we look forward to supporting his vision for Smith Entertainment Group and Utah sports fans,” said Chad Hutchinson, partner of Arctos Sports Partners. “Arctos works with visionary ownership groups and Utah has that in SEG. Their commitment to giving back to the community and building world-class franchises align perfectly with Arctos’ mission. We are excited to work with Ryan and the team to explore more sports-related opportunities around the state and the opportunity to build a premier sports and entertainment center here.”
SEG led the purchase of the Utah Jazz from the Larry Miller family in December 2020. At that time, the media reported a sales price of about $1.66 billion. Industry sources now estimate the value of the franchise at $1.8 billions. In 1986, Miller paid $22 million for the club.
Smith Entertainment Group (SEG) is a sports, technology and entertainment investment group led by the Smiths and focused primarily on the state of Utah. In addition to the Jazz and Real Salt Lake, SEG’s portfolio includes Vivint Arena; Rio Tinto Stadium; the Salt Lake City Stars of the NBA G League; Utah Jazz Gaming of the NBA 2K League; Real Salt Lake farm team the Real Monarchs; and management of the Salt Lake Bees, the Zone Sports Radio Network and other Utah-centric business ventures.
There is no imminent announcement concerning a third professional sports franchise coming to Utah, but speculation centers on expansion clubs in the NHL or NFL or the possible relocation of an MLB franchise.