Amidst calls to allow athletes to profit off their name, image, and likeness, the National Collegiate Athletic Association (NCAA) has been fighting an even bigger threat in the Supreme Court. In O’Bannon v. NCAA, the Ninth Circuit ruled that NCAA amateurism rules, which at the time limited athlete compensation to a full-ride scholarship, were too restrictive. As a remedy, the Court ordered the NCAA to allow member schools to pay their athletes up to the cost of attendance, meaning an athlete on a full scholarship could also receive a monthly stipend used for rent, food, gas, phone bills, and other typical expenses to cover the cost of attending university. … More The Future of College Sports is in the Supreme Court’s Hands
In the finance world, a special purpose acquisition company (SPAC) operates as a skeleton company to help raise capital to take a company public through an initial public offering (IPO). Although SPACs have “been around for decades,” they only recently became trendy again and have taken Wall Street investors by storm. SPACs, often termed “blank check companies,” serve no other purpose than to raise money – they have no marketable products or services. But why use an SPAC to take your company public instead of doing it the old-fashioned way? SPAC investors have only one objective, and a relatively tight deadline to meet that objective. Ordinarily, SPACs must find a suitable company to acquire within two years of the IPO, or they become liquidated and have to return all investments back to the contributors, with interest. Thus, it is in the SPAC’s own best interest to find a good deal and execute it. Additionally, SPACs offer several advantages over traditional routes to an IPO, such as access to capital regardless of market volatility, expedited IPO timelines, and lower transaction fees. … More Penguins’ Owner (Signa)ling Hot New Sports Company
On Wednesday, the PGA tour announced a new bonus structure that is designed to compensate golf’s most popular players.
The bonus structure will be known as the Player Impact Program and will award $40 million dollars to the top 10 players on Tour who drive the most engagement with sponsors and fans. By the way it is structured, $8 million will be given to the top player, with pay decreasing to each individual down the list. … More The PGA Tour’s New Way to Reward its Most Popular Players