If you’re a true Celtics fan, you may have found yourself either unbothered, confused or down many rabbit holes this past week. For me, it was all of the above.
On March 20, The Boston Globe’s Adam Himmelsbach broke the news that the Boston Celtics were purchased for a whopping $6.1 billion by William Chisholm, founder and chief investment officer of private equity company Symphony Technology Group, or STG. After hearing this news, I didn’t think much of it at first. Sure, it was impressive that someone I’d never heard of had $6.1 billion laying around to invest in a championship team, but that’s not even the most interesting part.
Chisholm grew up in Georgetown and attended Dartmouth College. He currently lives in California, where STG mainly buys smaller software companies, vastly different from an NBA team that just won the championship. However, Chisholm isn’t letting that deter him from investing in his favorite team.
“Growing up on the North Shore and attending college in New England, I have been a die-hard Celtics fan my entire life,” Chisholm said in a statement. “I understand how important the Celtics are to the city of Boston — the role the team plays in the community is different than any other city in the country.”
That’s great, but he doesn’t have the money. It’s time to talk about finances, Celtics fans.
According to an article by The New York Post, a prospective owner must come up with cash, not debt. It must be 15% of the deal price (in this case, of the $6.1 billion), half of which needs to be delivered immediately and the other half over the next three years. So Chisholm would need to give up at least $450 million in cash now and the rest later.
Forbes estimates Chisholm’s net worth to be close to $3 billion, and multiple sources have said that STG has managed assets around $10 billion. But Chisholm didn’t even have a Wikipedia page until he purchased the Celtics, and he wasn’t listed on the Forbes Billionaires List either.
Chisholm isn’t doing it alone, though (thank goodness); he’s called upon partners such as investment banks Goldman Sachs and J.P. Morgan to help arrange the financing.
The more qualified candidate that analysts and fans alike thought would have emerged as the winner of these “pocket wars” was current Celtics minority owner Steve Pagliuca. “Pags” (as he is affectionately known) placed a bid that looked more stable than the private equity money from Chisholm and company, but was rejected.
“We made a fully guaranteed and financed offer at a record price, befitting the best sports fans in the world, and with all the capital coming from individuals who are fully committed to winning on and off the court,” Pags wrote in a statement on X. “We had no debt or private equity money that would potentially hamstring our ability to compete in the future. We have felt it was the best offer for the Celtics.”
I couldn’t be more convinced that Pags would have been a better fit to own the Celtics than Chisholm solely based on his statement and Chisholm’s current financial situation. Pags is even a senior advisor at Bain Capital, a private equity firm! If he’s calling out that sort of money, then there’s great cause for concern.
At least for the next three years until Chisholm can (maybe) fully pay all $6.1 billion plus some, current owner Wyc Grousbeck will continue to see team operations through the 2027-28 NBA season. At least Chisholm can continue to focus on scrambling for the money he needs while living in California rather than getting distracted with managing his new team in Boston. His buddy Grousbeck, who reportedly only owns about 2% of the Celtics, has high praise for him, though.
“Bill [Chisholm] is spectacular,” Grousbeck told the Globe. “He checks every box as far as I’m concerned. He’s passionate about the team and he can make it happen. I feel that he really can be a great owner, and that’s what he burns to be. … He has all the tools and there’s a great fit here already with everybody he’s met.”
Let me know when Chisholm is done living in California and has moved to Beantown and purchased his first season ticket pass, then I’ll listen.
