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Forbes
4 days ago
- Business
- Forbes
Why The Golden State Valkyries Will Be The WNBA's Most Valuable Team Next Year
The Golden State Valkyries made their WNBA regular-season debut with an 84-67 loss to the Los Angeles Sparks on May 16, but even before tipoff, the game felt like a victory. A capacity crowd of 18,000 packed into the Chase Center in downtown San Francisco, with many of the fans already wearing the team's purple-and-black color scheme—and eager to return a few nights later for the Valkyries' second game, another sellout. Just over a year and a half after billionaires Joe Lacob and Peter Guber paid a reported $50 million for the expansion franchise, all of the hard work of starting up a professional sports team was paying off. 'Having actual games changes everything,' team president Jess Smith tells Forbes. 'We've been building and building up to this point, and now it's like we're actually launching the product. It's a different phase of the business.' The Valkyries are now 2-5, near the bottom of the WNBA's Western Conference standings, where they are expected to remain all year with a roster lacking top talent as it starts from scratch. Regardless of how this inaugural season plays out on the court, however, the Valkyries have guaranteed themselves success on their balance sheet. According to Forbes estimates, the team has locked in at least $20 million in sponsorship revenue this season and is projected to earn another $35 million from its 10,000 season-ticket holders and various premium ticket packages—figures that dwarf what any other WNBA team can generate. By comparison, the Indiana Fever led the league with an estimated $32 million in revenue last season from all business lines. In fact, the Valkyries' $55 million in revenue—a number that does not even include league distributions from national media and sponsorship deals, or income from merchandise and other ancillary streams—would exceed Forbes' estimates for what eight teams collected last season in MLS, a more established men's league. Although the Valkyries were not included in Forbes' 2025 ranking of the WNBA's most valuable teams, which employs a methodology grounded in past financial performance, league insiders unanimously believe Golden State will be at the top of next year's list, vaulting past the $400 million New York Liberty. And in a women's sports landscape where financial sustainability was not entirely assured a few short years ago, the Valkyries are being held up as a symbol of where the WNBA might be headed. 'The center of the tech sector in the U.S. is the Bay Area, and we didn't have a WNBA team in one of the most progressive markets in the country? It just never made sense to me,' says one league executive. 'I'm not surprised at all by their success.' The Valkyries' natural advantage begins with Lacob (net worth: $2.3 billion) and Peter Guber ($1.5 billion), who are also part of the ownership group for the Golden State Warriors—the NBA's most valuable franchise in each of the last three years, worth an estimated $8.8 billion. By the time their expansion bid was selected in October 2023, the WNBA had not added an expansion team in 15 years. But the two billionaire owners had been planning for that day since they and the Warriors helped finance the construction of the Chase Center, which broke ground in 2017, opened in 2019 and now serves as the home arena for both teams. For example, while Chase Center suites include concerts alongside Warriors games in their long-term lease contracts, there was a carve-out provision in case the building was able to land a WNBA team, foresight that is now allowing the Valkyries to sell all of the venue's premium spaces. More broadly, the Valkyries are able to profit from revenue streams that are not available to some other teams around the league, such as concessions and parking, because their owners control their arena. "It's such a joy to oversee the [profit-and-loss statements] here and have an ownership group that also oversees our real estate, after coming from recently being a tenant,' says Smith, who previously served as head of revenue at the NWSL's Angel City FC, which rents BMO Stadium in Los Angeles for its home games. Shared ownership has its perks, but Smith's first job when she was hired in early 2024 was differentiating the Bay Area's WNBA newcomer from its NBA incumbent. Sponsors like JPMorgan Chase, Kaiser Permanente, CarMax and United Airlines were already paying the Warriors top dollar to reach a fan base associated with Silicon Valley innovation and early adoption, but Smith sold them on the fact that the Valkyries and Warriors' season-ticket bases have an overlap of less than 5%, a trend that holds true in many WNBA markets. 'We're not selling them something that's an extension,' Smith says, relaying the sales pitch. 'We're truly selling them a unique audience who happens to play in the same building in a market that's already important to them.' Of course, none of that would matter if the team had not demonstrated strong fan support and signed up those 10,000 season-ticket holders, which is around the same number the Warriors have in the same arena—albeit at a lower price. Smith says a key to building the Valkyries' fan base has been merchandise. Contrary to the prevailing wisdom in men's sports—where a fan might like an athlete or a team, go to a game to see them play and then eventually buy a jersey or a hat—WNBA league officials told Smith early on that the league's audience tends to travel in the opposite direction, buying merchandise before becoming a fan of the team and eventually attending a game. Box Office Ballers: Temi Fagbenle and the Golden State Valkyries have attracted 10,000 season-ticket buyers—around the same number the Warriors have in the same Valkyries focused early efforts on their branding and color scheme, and Smith says that in 2024, before they had played a single game, the team had higher merchandise sales than any WNBA team had had the year before. The figure was more than double what Smith recalled selling at Angel City FC in that team's first year. The Valkyries also lucked out with their timing. Last season proved to be transformational for the WNBA as interest skyrocketed around the rookie season of Fever guard Caitlin Clark, and teams continue to find ways to benefit from the so-called Caitlin Clark effect, with the Valkyries putting tickets to a Fever game in each of their two mini-package offerings this summer. 'The league was growing, but [Clark] obviously was the secret ingredient that took the league to another level,' says Ivo Voynov, the head of sports finance at Citi Private Bank. 'If [Golden State] had done this in 2019, it would be a different story, but on the heels of Clark and Angel Reese and Paige Bueckers, it's a perfect storm.' The Valkyries' owners know more than most about the importance of timing. In the mid-1990s, Lacob invested in the American Basketball League, a women's professional competitor to the brand-new WNBA, and purchased the operating rights to one of its franchises, the San Jose Lasers. In December 1998, midway through the league's third season, it declared bankruptcy and shut down. Prospects for the WNBA look much more promising. The 12 teams valued by Forbes this year are worth an average of $272 million, and as the league expands, the leading contender for the next slot is believed to be a group in Cleveland led by Cavaliers owner Dan Gilbert, which has reportedly offered to pay the WNBA a roughly $250 million fee. That number represents a significant jump not only from the Valkyries' $50 million but also from the $50 million and $125 million that Toronto and Portland reportedly paid last year to join the league in 2026. The valuations, Voynov says, are far more indicative of investors' optimism for the future than of what franchises are currently worth. 'This is still a venture-capital-type investment. We're not kidding ourselves—there's risk to it,' he says. 'And it's hard when you're looking at your investment go from $50 million to $250 million in a span of five years to not start thinking, 'Maybe I should get out—I could take my winnings and then let someone else figure out if this is a sustainable business long term.' 'But the ownership group at Golden State is not doing that, clearly. They're building for the long term—and that's exactly what the league needs.'
The Guardian
21-05-2025
- Sport
- The Guardian
Ride of the Valkyries: how the WNBA finally found a home in the Bay Area
Purple-dyed ponytails and sequin jackets glittering in shades of black and violet. Fans are decked out in sports logos and LGBTQ rainbows while Black Box's Everybody Everybody – a queer dance club classic – booms from the speakers. Ali Wong is playfully dancing on the Jumbotron. There's no misinterpreting it: the WNBA has arrived in the San Francisco Bay Area. The Golden State Valkyries – who are owned by Golden State Warriors tech mogul Joe Lacob, and housed with their sibling franchise at Chase Center in San Francisco – were announced in 2023 (their name was confirmed in 2024) as the first WNBA expansion team since 2008. Last Friday, the team made their WNBA debut, against the Los Angeles Sparks, in front of a sellout crowd of 18,064. As local reporter Randy Dumalig said on KCBS, 'it felt like everyone and their mom was there.' The energy in and around the arena was electric. A diverse, intergenerational crowd that skewed noticeably more female than those at most Bay Area sporting events gathered from all over the region to celebrate the WNBA's splashy and long overdue arrival. With local celebrities such as Steve Kerr, Jonathan Kuminga and Brandi Chastain also in attendance, WNBA games are suddenly a real Bay Area attraction. But it has taken the WNBA a long time to arrive. When the 'W' started play in 1997, the San Francisco Bay was surprisingly excluded, despite its sports pedigree. Sacramento, roughly two hours away, was given its own team, the Monarchs, but they folded in 2009. Meanwhile, an opportunity for women's basketball had been steadily accruing in the Bay Area. The franchise has already made history by becoming the first in the WNBA to surpass 10,000 season-ticket holders, a feat that was declared mid-game against the Sparks, who ultimately defeated the still-inexperienced Valkyries 84-67 on Friday. Chants of 'GSV' and 'Let's Go Valkyries' broke out throughout the night at decibels that longtime Bay Area fans may recall from the days when the Golden State Warriors played at Oracle Arena. With the Valkyries' practice facility and headquarters located in the previously vacant Oracle in East Oakland, they're sure to appeal to fans from all over the Bay's shoreline, too. 'There was nothing like this for a long time,' says Mickey, a 74-year-old who made the commute from Silicon Valley during rush hour for the inaugural Valkyries game (she requested not to publish her full name). Before tip off, she sat in front of the arena in an electric wheelchair wearing her Valkyries gear, soaking it all in. 'I used to go to Sacramento to watch the WNBA; I didn't miss a single playoff game [during the team's championship season] in 2005. I've been waiting for a WNBA team in the Bay Area for over 27 years.' The air seems noticeably fresher in town with the WNBA – a league known for its social justice efforts, gender and labor equity advocacy, and its appeal to queer and non-traditional fans. Enthusiasts like Mickey abound here and are a reminder of the many dimensions of sports fandom that can thrive in a place like the Bay Area. And yet, Ballhalla (a de facto nickname for the Valkyries' home court, and a playful ode to Valhalla, the mythic hall of fallen warriors in Nordic myth) wasn't built overnight. Women's basketball has had a rich, if not overlooked legacy in the Bay. And its phalanx of supporters, in tandem with the Bay Area's vibrant arts and culture scenes, have been ready for their big shot. In 1969, Lew Alcindor – later known as Kareem Abdul-Jabbar – was the No 1 overall pick in the NBA draft; he went on to become a dominant Hall of Fame force who would change the sport. Yet, a far lesser known prospect was drafted that very same night. She who would have just as profound effect on the sport by becoming the first hooper to break the league's gender barrier. Denise Long was selected by the then-San Francisco Warriors in the 13th round with the 175th pick, becoming the only female player to be picked in the NBA draft. This was nearly 30 years before the formation of the WNBA. Long's tenure as a professional basketballer in San Francisco didn't last. The league's commissioner, Walter Kennedy, immediately annulled the move, citing her status as a high schooler and gender. Warriors owner Franklin Mieuli, a bombastic Bay Area entrepreneur, had another gameplan – launching a women's basketball league in nearby Daly City. Long, who had scored more than 100 points in a single game three times in high school, would go on to headline the nascent, local women's circuit (Mieuli gave his young star a purple Jaguar to show his esteem for her skills). That season, four women's teams competed before every Warriors home game. But the league folded after one campaign, and Long moved back to her home state of Iowa to lead a quiet life away from basketball. Pro women's basketball wouldn't renew itself until 1979, when the San Francisco Pioneers of the Women's Professional Basketball League made Oakland native Anna Johnson the first professional women's player from the Bay Area. Like the Warriors' upstart efforts, however, it proved too difficult to maintain a professional women's franchise in the area. The San Jose Lasers (also funded by Lacob) would make an attempt in 1996, along with the San Jose Spiders, but both failed. And though the Stanford Cardinal assembled an college dynasty in Palo Alto, winning three national titles, the professional women's game never caught a break in the Bay Area. Until now. Michelle Miller has worked for the Golden State Warriors, Bay Area Panthers and California Golden Bears. Better known as DJShellheart, she keeps the energy high at Bay Area sporting events. As a Black, queer woman rooted in the local hip-hop scene, she says nothing feels quite like working with the Valkyries as one of the team's DJs. 'This is the start of something bigger, just having a safe space to go, to feel comfortable and not be scared to speak about sports with [like minded] people,' she says. 'The Valkyries coming to the Bay has shifted the energy. Since last year we've been doing community drives, girl's camps focused on mental health, things that are just bringing positivity. This is the ideal place to have a team like this.' She's just one of the Valkyries' community partners. Others include artists like Kehlani, P-Lo, E-40 – who performed for the opening game's half-time show to a raucous crowd – and Goapele, a legendary R&B singer who is appointed as one of the Valkyries' public ambassadors. In an effort to build inroads within local arts and culture, the team has also initiated its Valkyries Collective program, featuring athletes, influencers and entertainers from the area. Even the Valkyries' head coach Natalie Nakase, who became the first Asian American head coach in league history, has quasi-local roots. The Californian began her professional career as a point guard with the San Jose Spiders about an hour south of San Francisco. The organization's focus on the local area can be seen in the arena's rafters. Allison 'Hueman' Torneros is a decorated Filipina muralist from the East Bay who grew up watching the Warriors. Though she has worked with the NBA in past seasons – even designing a Nike uniform for the Dubs in 2022-23 – she is particularly excited to team up with the V's. Her work often incorporates womanhood, femininity, and Bay Area immigrant identity. So it's no surprise that she was brought on to paint a Valkyries-sponsored mural at their practice facility in Oakland. The work is sprawling, covering 200ft and unfurls elegantly across a long hallway: a surrealistic rendition of women in battle, running mid court, swords drawn, galloping towards what appears to be victory, clouded in a purplish, dreamlike haze. It is everything that a women's basketball team in the Bay Area is, and may one day yet be. Back in San Francisco inside Splash Bar – a Steph Curry-backed sports bar, in which the NBA star has expressed his support for the Valkyries – WNBA games are being shown on a huge screen before Friday's game. Outside, flocks of Valkyries fans mingle hours before tip off, eager to be a part of history. Fans like Teresa Guillen and Diane Rosen, Gen Xers who live in San Francisco and have had ties to the Warriors since the 70s, now have a top-shelf women's team to root for. Former high school players like Yolanda Shavies, who grew up across the Bay Bridge in Oakland and once had aspirations of playing professionally. These are the fans who the team represents; and they certainly didn't disappoint when they showed up for game number one. 'We've been waiting a long time for this,' says Shavies, who crafted a Valkyries-emblazoned sword, which she carried around as an accessory to complement her violet shirt and color-coordinated Nikes. 'I've been waiting a long time for this.' 'We've found the finishing piece to what the Bay Area was missing,' DJShellheart says. 'Adding the WNBA is like finishing that thousand-piece puzzle. It's an image and color we could never fully see until now.'
Yahoo
11-05-2025
- Business
- Yahoo
"Sometimes you get them right" - Warriors owner Joe Lacob admits he had concerns regarding acquiring Jimmy Butler
Hindsight is always 20/20, and to say that the trade that brought six-time All-Star Jimmy Butler to the Golden State Warriors was a success would rank as one of the understatements of the year. Before the 6'7" veteran wingman joined the Warriors, the team looked like a rudderless ship needing another superstar to back resident ace Stephen Curry up. Upon his arrival, it seemed like the heavens parted, and the players could hear angels singing. Butler's intensity, leadership, and all-around game were exactly what the Warriors needed to give them another shot at a title run. Advertisement In an interview with The Athletic, team owner Joe Lacob admitted that he had doubts about making the trade. But ultimately, he trusted his gut and made the move that has placed the Warriors into championship contention this season. Rolled the dice The Warriors have longed to bring in another superstar who could help Steph carry the Dubs this season and the ones to come. After failing to lure All-Stars Paul George and Lauri Markkanen in the offseason, they tried to boost their offense by trading for Dennis Schroder in December. However, that didn't work either. When the trade deadline in early February arrived, the Warriors faced an uncertain future. All that changed when the opportunity to acquire the former Marquette ace was placed on the table. Lacob, though, didn't pounce on the trade offer. He carefully considered the potential risks and benefits of bringing in a volatile star like Butler. On one hand, Butler's talent and competitive drive were undeniable. On the other hand, his history of clashing with coaches and teammates raised red flags. Advertisement However, Lacob ultimately decided to roll the dice on Jimmy, believing that his positive impact on the court would outweigh any potential off-court issues. And so far, it seems he made the right choice. "Sometimes you get them right. That's all I can say," Lacob stated. "There were (concerns about Butler). But you do your analysis, you make your choices, and, yeah, it was a little bit of a risk. But we've got to take risks in this life. And he's worth every freaking penny. That's all I can say. He's fantastic." Related: Isiah Thomas recalls his college recruitment: "My mom closed the briefcase and said, 'My son's not for sale" Turned things around With the six-time All-Star donning the Warriors' jersey, the tides suddenly shifted. With Butler, the Warriors had a lethal midrange and post scorer, a player who could draw fouls and generate easy points from the free throw line, a smart passer and a formidable defender. The Dubs immediately went on a run and became the best team in the league in the second half of the season. Advertisement After the Warriors eliminated the second-seeded Houston Rockets in the first round with "Playoff Jimmy" averaging 18.3 points, 6.0 rebounds and 4.8 assists per game, JB's production and leadership will be of utmost importance in the second round against the Minnesota Timberwolves. With the superstar guard sidelined with a hamstring injury, the veteran wingman will have to step up, carry the load and lead the Warriors through the highs and lows of a playoff game. "It was all about protecting the ball, and Jimmy is, I think, as good as anybody – any star in the game – at reading the game, understanding how to control the tempo and control the time and score, understanding everything that's happening, and putting the ball in his hands in a situation like that is pretty comforting," Golden State head coach Steve Kerr conveyed. As the Bay Area squad heads to Game 2, Lacob, Kerr, and the rest of the franchise are hopeful Butler can continue to deliver and help lead the team through this turbulent time with Steph on the sidelines. Related: "I'm a winner" - Steph Curry proudly declares what he is after sending the Rockets packing for the fifth time this decade
Yahoo
15-02-2025
- Business
- Yahoo
Warriors, Knicks top CNBC's Official NBA Team Valuations for 2025
The average National Basketball Association team is worth $4.66 billion, according to CNBC Sport's official NBA valuations. This places the league between the average National Football League team, worth $6.49 billion, and the average National Hockey League team, worth $1.92 billion. The most valuable NBA team is the Golden State Warriors, worth $9.4 billion. The Warriors generated $781 million in revenue — net of their revenue-sharing payment — during the 2023-24 season, the highest in the NBA. The Warriors own their home arena, San Francisco's Chase Center, from which they also earn revenue from non-NBA events. The team raked in nearly $200 million in sponsorship revenue last season, nearly double that of any other team, according to a league executive. It may not be surprising that the value of the Warriors has increased at a 24% compound annual growth rate since Joe Lacob and Peter Guber paid $450 million for the team in 2010. After all, the Warriors have won four NBA titles over the past decade, moved into their state-of-the-art arena in 2019 and have been led by two-time league MVP Stephen Curry. But even the small-market Memphis Grizzlies, the NBA's least valuable team, worth $3.2 billion, have been a great investment for owner Robert Pera. The Grizzlies have not been to the NBA Finals since entering the league in 1995 and generally rank in the bottom third of the NBA in average attendance. Yet, the value of the Grizzlies has increased at a 19% annual rate since Pera paid $377 million for the team in 2012. According to team executives, the biggest reason for the rising tide in NBA valuations has been the increase in national media rights, which are divided equally among the league's 30 teams. In July, the NBA agreed to a new media rights package worth $76 billion over 11 years, beginning with the 2025-26 season. On an average annual basis, the new deal is worth $6.9 billion a year, nearly 160% more than its current deal is worth. Revenue and EBITDA figures represent the 2023-24 season. Here is CNBC's methodology for ranking the NBA teams. This article was originally published on Sign in to access your portfolio
NBC News
14-02-2025
- Business
- NBC News
Warriors, Knicks top CNBC's Official NBA Team Valuations for 2025
The average National Basketball Association team is worth $4.66 billion, according to CNBC Sport's official NBA valuations. This places the league between the average National Football League team, worth $6.49 billion, and the average National Hockey League team, worth $1.92 billion. The most valuable NBA team is the Golden State Warriors, worth $9.4 billion. The Warriors generated $781 million in revenue — net of their revenue-sharing payment — during the 2023-24 season, the highest in the NBA. The Warriors own their home arena, San Francisco's Chase Center, from which they also earn revenue from non-NBA events. The team raked in nearly $200 million in sponsorship revenue last season, nearly double that of any other team, according to a league executive. It may not be surprising that the value of the Warriors has increased at a 24% compound annual growth rate since Joe Lacob and Peter Guber paid $450 million for the team in 2010. After all, the Warriors have won four NBA titles over the past decade, moved into their state-of-the-art arena in 2019 and have been led by two-time league MVP Stephen Curry. But even the small-market Memphis Grizzlies, the NBA's least valuable team, worth $3.2 billion, have been a great investment for owner Robert Pera. The Grizzlies have not been to the NBA Finals since entering the league in 1995 and generally rank in the bottom third of the NBA in average attendance. Yet, the value of the Grizzlies has increased at a 19% annual rate since Pera paid $377 million for the team in 2012. According to team executives, the biggest reason for the rising tide in NBA valuations has been the increase in national media rights, which are divided equally among the league's 30 teams. In July, the NBA agreed to a new media rights package worth $76 billion over 11 years, beginning with the 2025-26 season. On an average annual basis, the new deal is worth $6.9 billion a year, nearly 160% more than its current deal is worth.
