Town have announced a £105 million investment from US-based private equity firm, Bright Path Sports Partners, who have secured a stake of just over 40 per cent of the club.

In a statement, the club outlined the development: “The investment is being made to support the club in the long-term and comes at a time when the Three Lions fund, represented by Berke Bakay and Brett Johnson at board level, has also significantly increased its investment.

“Bright Path Sports is to be represented by co-founders Jake Zahnow and Phillip Ciano. Their investment is comprised of several limited partners, of which Sam Simon, the founder of Simon Group Holdings and Simon Sports, is the primary funder.

“Following Bright Path Sports’ investment, ORG, which manages funds for PSPRS (the Arizona Public Safety Personnel Retirement System) and is headed by Ed Schwartz, remains the majority and controlling shareholder in the Club, retaining a c50 per cent holding. The remaining 10 per cent is made up of smaller investors including the Three Lions [and former owner Marcus Evans].

“CEO Mark Ashton will continue to manage the day-to-day running of the club, with new investors Bright Path Sports providing capital and strategic thinking which will be of significant benefit to the club.”

Schwartz, co-founder and principal of ORG, told the club website: “When we purchased Ipswich Town in 2021, we did so with the initial aim of restoring the Club to the Championship and becoming competitive at this level, with the plan always including bringing a partner on board when the time was right.

“The club’s progress means we feel that time is now and we are excited to welcome Bright Path Sports. Alongside the continued day-to-day leadership of Mark Ashton, who we are delighted has further committed his future to the club, we look forward to Bright Path bringing significant value to Ipswich Town in the coming years.”

Blues CEO Ashton added: “We are excited to welcome Bright Path Sports on what is another landmark day in the club’s history.

“This is a day that further secures the long-term future of the football club and gives us the means to move the club forward as we benefit from the wide range of skills and experiences Bright Path’s investors will bring.

“The investment will continue to support the club in both the medium and long term, with the biggest immediate use being to support a number of key infrastructure projects, including the significant redevelopment of the training ground at Playford Road.”

Bakay, one of the Three Lions, said: “We are delighted Bright Path have committed capital to the club alongside the additional funds we have invested.

“The start of our journey at Ipswich has been an incredible one and we look forward to continuing it alongside our new partners.”

Sam Simon, the lead investor in the Bright Path-Ipswich link-up, said: “We are excited to be making this investment in a brilliant football club.

“We love the history, the potential for the future, the passionate fans and the management of the club, who are amazing people. We invest in people and this is perfect for us.

“We believe in investing for the future in order to give the team and management the tools to do their jobs and we’re excited to be working together.”

Bright Path Sports co-founder, Jake Zahnow added: “Phil and I looked at teams all over the world regarding possible investments and, after meeting Mark and Ed, we stopped looking.

“We are here to provide capital while offering our input whenever Mark and Ed need it, but first-and-foremost our job is to support them whenever it is required.

“Mark and the team at Ipswich have an in-depth knowledge and vast experience of running football clubs and we love the direction the club is moving in, while being excited for the future.”

The new investment has led to changes at board level with Simon and Zahnow joining the board of Gamechanger 20 Ltd, the club’s parent company, which was set up in order to complete the purchase of the Blues from former owner Evans.

Ashton will also join the board of Gamechanger 20 Ltd, while Town’s chief operating officer Luke Werhun will join the boards of both Gamechanger 20 Ltd and the football club itself.

Ed Schwartz, chairman Mike O’Leary and chief financial officer (CFO) Tom Ball will continue as board members of both Gamechanger 20 Ltd and the football club.

We understand discussions regarding the investment have been ongoing since before the club’s promotion to the Championship with the club's owners having made their intention to bring in other investment clear since the takeover.

Bright Path Sports Partners' website outlines their mission statement: “Bright Path Sports Partners is the first ever private equity and advisory firm exclusively dedicated to raising and deploying Native American capital into professional sports franchises, facilities and ancillary opportunities.

“Bright Path brings lucrative professional sports and related opportunities to a historically underrepresented class (Native Americans), while meeting the continuing trend in professional sports to advance equity and inclusion from ownership to front office and beyond.

“Bright Path combines a diversity and social equity mission with more than 75 combined years of experience in sports law, finance, management and Native American investment.”

The website also includes brief biographies of Ciano and Zahnow. Of Ciano, it says: “Phil is a founding partner of Ciano & Goldwasser, LLP – a national sports law/deal boutique representing private and public companies, global talent agencies and diversified investment funds.

“Clients include public and closely held companies and international sports agencies/certified agents in professional baseball, basketball and football.

“Phil is responsible for Bright Path’s overall leadership as well as origination of professional sports and ancillary investment opportunities.

“He is an Ohio licensed sports agent, an active member of the Sports Lawyers Association, and sits on multiple boards including the board of the American Cancer Society.”

Regarding Zahnow, it says: “Jake has decades of experience in corporate development and management of start-ups and fortune 500 companies in automotive, building materials, retail and distribution.

“Jake brings deep experience in operations, corporate finance, family office management, private equity and mergers & acquisitions.

“Jake is primarily responsible for origination and execution and will serve as Bright Path’s chief financial officer.”

Simon Sports’ website describes itself as “a sports investment firm and management group that serves as an umbrella for Sam Simon and his son Peter Simon’s sports ventures. Simon Sports is headquartered in Birmingham, Michigan.”

It has two divisions, the operations division, which is focused on sports teams, providing the day-to-day support of the company's management of the 'franchises' it owns.

And investments, which the website says “identifies and contributes to cutting edge technologies and diverse emerging developments across the sports industry.”

Mentioned in its portfolio is the Halifax Mooseheads ice hockey side, as well as other hockey and golf investments.

Simon fled Iraq aged nine in 1973 with his family having been persecuted as an Armenian Catholic.

He launched Atlas Oil Co in 1985 with a single delivery truck and has built it into a multi-billion gallon-a-year fuel wholesaler with over 500 employees.

That led to the formation of Simon Group Holdings, which is based in Birmingham, MI.

TWTD first got a hint that new investment was close after the Sunderland game in January when CEO Ashton and COO Werhun had been spotted giving some unknown Americans a tour of Playford Road, then later they were spotted similarly being shown around Portman Road and grabbing photos in the dugouts.

A full interview with Schwartz, Ashton, Simon, Zahnow, O’Leary and Bakay, is now free to watch on the club’s TownTV.

Photo: Action Images

Billysherlockblue added 19:08 - Mar 22 I have to agree with suffolkboys thoughts on this news!
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runningout added 19:12 - Mar 22 our club has been transformed from the sad times of not long ago. Looking forward to next season whatever league we are in and beyond
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blues1 added 19:15 - Mar 22 Bazza8564. You should listen to thr interview. Ashton says clearly that the investment will allow us to move the club forwards, both on and off the pitch. So clearly can be used for player purchases.
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Van_Blue added 19:45 - Mar 22 I went to my first town match in September 1962 and in all that time there have been a lot of ups and downs. I just finished watching the interview with Ed Schwartz and Mark Ashton and given that football is now, like it or not, a big money game then I see this as a huge positive. It appears that we have investors who will let Ed O'Leary and Mark Ashton get on with the job of managing to a plan. It doesn't sound like they are going to be arbitrarily buying players that KmK doesn't want or bringing in a manager that Mark A doesn't want. I like the comment that they see themselves as caretakers of a club run for the supporters. COYBs into the PL.

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WashbrookBlue added 20:16 - Mar 22 This has to be positive news for the future of the club and another moment when one has to shake one’s head at the extraordinary progress of every aspect of the club in such a short time. That said, there’s nothing wrong with pondering on the detail of this in a slightly sceptical way and not getting carried away with the hype. The model of investors is that they do so for a return. If the generally quoted figure of a £40 min purchase price is to be accepted, then selling 40% of that for £100m plus is a tidy return. No problem with that, that’s the risk reward equation of development capital injections. Some flop, some fly and you exit handsomely in either the short or long term. Fortunately - we hope - Gamechanger are long not short term partners and the handsome return that they have (deservedly) made from their initial investment will encourage them to back this incredible project all the way in the knowledge that there’s an even greater pot of gold at the end of the rainbow. The most encouraging thing is that so far they have been true to every word in terms of investing off as well as on the field and keeping out of the way of Ashton’s day to day running of the club. This is a rare and valuable asset, let’s hope Bright Path aren’t so greedy that they contaminate that winning formula……

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Van_Blue added 21:40 - Mar 22 WashbrookBlue, according to the interview ORG have not sold any of their stake in the club. However, because of the additional investment, their holding has been diluted from 90% to 50% meaning they are still the majority shareholder and are still very much looking at continuing a long term investment. Note that on their books ORG will be showing an increased book value even if the % of shares is 50.

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Runner added 21:49 - Mar 22 Van_blue: spot on. 2021, purchased 90% of club for £40m, plus spent a few million since that time, so maybe invested £60m now. Now have a 50% stake worth approx £130m.
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PhilR added 22:20 - Mar 22 Van_Blue if that is the situation, that Bright Path have invested in new shares to dilute ORG, no cash out, and (if I read it right) the other shareholders have invested alongside, I am delighted - that should give us the resources to invest in the club, invest in the squad and compete however things turn out. I know there is often scepticism about professional investors, but that is what we have had in ORG - in stark contrast to Marcus Evans, they have brought in and backed a strong and experienced management team, and together have made disciplined decisions based on a plan, and we have all seen the benefits of that. Unlike some other more high profile owners, they leave the running of the club and football decisions to management. Whether or not we get promoted this season, I think we can be very excited for the future

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bobble added 22:52 - Mar 22 a pyramid of US owned tax dodging companies now control the towns club, is it any wonder that Britain is in a state of decline ? the profits from this ownership will be sucked off overseas and not help Britain...yes the club will get a boost , but all foreign ownership really achieves is taking money from Suffolk to the USA or Cayman islands...enjoy the ride but dont complain in the future when there are limited services in the country....

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Bert added 23:02 - Mar 22 ….. blow me down, I have never heard of a highly regulated wpension fund being a tax dodge. Fake news prevails it seems.
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Saxonblue74 added 23:21 - Mar 22 Bobble, I'm sure local businesses in Ipswich will tell you of their upturn since Town attendances have reached 90+% That would increase significantly with promotion and investment to increase PR capacity. The sky is the limit for this club and the local financial benefits are great. Ipswich Town as a whole needs the boost.
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ArnieM added 23:54 - Mar 22 I can see and hear norfolk / narwich turning green with utter dismay and envy at this news. They’ll ALWAYS be in our shadow.
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C_Thomsen added 00:05 - Mar 23 Announced on the same day as the 20M loss in 22/23, hmmm... We'll take it - of course - but all of a sudden the Gamechanger 20 involvement seems a little short sighted, and did they actually have the money to take it any further themselves other than the 40M they invested? To sell half your stake, albeit them stating its "according to plan", at a time when the club could move into the EPL, seems a little off to me. Surely, at this stage, and just 2 years into their tenure, they would dig into their own pockets for this investment, as it should be an easy sell to their own shareholders, considering the progress we have made (ahead of schedule)? There is next to no information about the Private Equity. The Bright Path Sports website has barely been live for more than 1 year, and the website is skinny with next to no information. Nevertheless, we are getting the makeover to the facilities needed, rather than pure invest into playing staff, and hopefully improvement to Portman Road coming up as well, then long may it continue, but I can't help but sitting back with the feeling of us just being part of a current American fad of investing into British teams.

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MBG added 04:22 - Mar 23 Private equity investors have a reputation for being sharp operators. I'm not sure what expertise they can bring. Let's hope that for this "expertise" we don't see huge consultancy and management fees going to Bright Path. On the other hand, Portman Road needs expansion because a successful ITFC would be limiting itself if the capacity remains stuck at 29,000. If the bulk of the 105 million goes into stadium improvements and the club continues to be well run then it will have been worth it. Time will tell.

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itfc58 added 07:26 - Mar 23 Just 5 words to say about this …… Scum eat your hearts out!
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stourvalleyblue added 09:22 - Mar 23 it looks too good to be true, A club being owned by multiple companies does not always work. 40% gives them significant power in the decision process...ask Man U. how it's going for them......
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Realist added 12:04 - Mar 23 People need to remain a bit level-headed at this announcement. Whilst it's good news that the ownership is more diversified people are running away with the idea that this £105m will be invested in the club. ORG have sold shares to this value and have retained 50% of the club. So they have made a great profit on their original investment. This profit goes to ORG not Gamechanger so that money is not available to Gamechanger or the club. Also, people are saying that the club is now valued at £262.5 million based on the £40m ORG invested. Again this is inaccurate as it doesn't take into account the £12million Gamechanger lost in the first year that was covered by ORG and the losses they may have made in their 2nd year. (The 2nd year accounts should be filed by 31st March 2024. There may also have been losses in the 3rd year to date. Neither is it income for the club as Blue 1 posted. It's profit for ORG, the original investor. So, dont run away with the idea that this will drive us to the Champions League as NoMore4 posted on here.

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HairBearBunch added 13:29 - Mar 23 Well that article left me more confused than Colchester's Magic Roundabout
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Gcon added 16:00 - Mar 23 blues1, You are incorrect. I stand by what I said. However, Realist sums it up far better in the post above.
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Van_Blue added 18:37 - Mar 23 There is a difference in accounting terms between capital and operating funds. The FFP rules apply to operating funds so whilst the additional investment possibly could be used for on-field improvement, as stated by Mark Ashton, the club still have to operate within the operating funds FFP rules. I believe that is why some of the investment is being directed towards getting a Cat 1 academy to help raise future funds for new players (selling on players developed by the club) and be in a better position to stop other clubs raiding our young players.

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PhilR added 19:17 - Mar 23 Realist - if you watch the announcement video, the £105m is explicitly explained as being investment raised into the club, not a sale by our current owners. That says to me that our owners are being diluted down to 60% by the new investors at a valuation of £260m (although that may not be the right number depending on the make of the investment), rather than selling their shares. This money is cash to invest over time in the club. Happy days. Given the club's position (potential, and losses funded in the last 2 years), I expect new investment from somewhere was a necessity. There may be many reasons why the Arizona Pension Fund didn't follow its original investment with more money - it may be that they have their own internal restrictions which made that undesirable, who knows. From my perspective, having more than one professional investor in the club is a good thing, meaning deeper pockets, and makes little difference - they are both relying on the same management team, and will make decisions professionally.

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Van_Blue added 21:55 - Mar 23 'Not taking any money out of this club' - Ed Schwartz on ORG's commitment to Town
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Realist added 10:39 - Mar 24 PhilR - after watching the video I agree that my previous post was incorrect. The £105m is going to the club for what it appears is newly issued shares by Gamechanger. ORG and the other investors share of the club has been diluted accordingly to 50% to ORG. Nevertheless, private equity funds only invest for a profit so they now have around 40% of the club valued at £105m that at some stage they will be looking for a good income in the form of dividends or a sale of their share or a percentage of it. See Man Utd's Glazer ownership to see how this works. As the owners of the club are in the first phase of their investment to build the value of the club it has been brilliant for us supporters. However, at some stage they and ORG will be looking for a return on their investment which I assume is predicated on a return to the Premier League. The money from the TV deal for a bottom half Premier Team is around £120m but this doesn't go far when you consider the cost of players in the Premier League. Also, most Premier clubs lose money every season and considering at best we are likely to be a lower bottom half team it puzzles me how they are going to get a return. At the moment let's just enjoy the ride, but perhaps bear in mind that there may be a fall along the way. (and stop being unrealistic about the Champions League)

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