Elevate formally introduced its
college sports fund on Monday, revealing that two universities had already committed, but withholding their names. The fund is backed by
private equity firm Velocity Capital Management and the Texas Permanent School Fund, a special-purpose government corporation that supports the state’s schools.
"While neither Big Ten institution had previously been considered a frontrunner in the movement toward private financing, their participation is hardly surprising. Both rank among the top 25 in athletic spending among FBS public universities, per
Sportico’s
college sports finance database, yet neither enjoys the same financial stability as some of their high-spending peers."
- For UCLA, the embrace of private investment comes amid prolonged fiscal distress. Now competing in the Big Ten following the dissolution of the Pac-12, the Bruins’ athletic department has grappled with persistent deficits. Recent NCAA filings show a nearly $52 million shortfall in fiscal year 2024—even after receiving a $30 million campus subsidy. Over the past six years, the program has accrued close to
$220 million in debt tied to athletics, highlighting the urgent need for alternative revenue streams.
-At Penn State, a similar financial recalibration is underway. In February, the university introduced a slate of new fees—including additional charges on season and single-game tickets, parking and in-stadium purchases—to establish its “Legacy Fund,” designed to support mounting athletic department expenses from scholarships to facility improvements
-Florida State University emerged as a notable early mover, becoming the first known institution to actively pursue private investment in its athletic department. In 2022, FSU initiated discussions with private equity firms Sixth Street and Arctos Partners under an in initiative internally dubbed “
Project Osceola.” While the talks demonstrated significant initial interest and ambition, the effort has yet to yield a formal agreement.
-In May 2024, RedBird Capital and Weatherford Capital—co-founded by FSU trustee and former Seminoles quarterback Drew Weatherford—unveiled
Collegiate Athletic Solutions (CAS), an investment platform designed to deploy between
$50 million and $200 million into select major athletic departments. Despite the ambition and capital behind the fund, CAS has yet to finalize or publicly announce any completed partnerships.
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