Is this the biggest show in town?
Sport has not escaped the scrutiny of the securitization specialists. Whether it's ticket receivables, broadcasting rights, or even the salaries of the best-paid sports stars, it's all fair game. The reason is obvious: "Soccer, for example, is run more and more like a business, and is becoming more financially sophisticated," says Andy Clapham, head of securitzation at Greenwich NatWest.
Credit Suisse First Boston cast an eye over the possibility of striking a deal for the rights to the Soccer World Cup in 2002, and one banker wonders why promoter Bernie Ecclestone does not do the same for Formula One motor racing rather than issuing shares. Nomura and Fahnestock have both been looking at how best to package sports stars' bonuses and advertising endorsement revenues, but only one deal is being mooted at present. That is for Frank Thomas, a baseball player with Chicago White Soxs. The banker looking at the deal is Riaz Valani, who has set up a one-man boutique called KMS based out of his house in New York.
All the talk in Europe as far as soccer goes initially seemed to concern English clubs.