Wasserman Agency Sale: Moelis & Co. Leads Process Amidst Controversy

The sports and entertainment agency Wasserman is moving forward with a sale process, retaining investment bank Moelis & Co. To advise on the transaction. This decision comes after founder Casey Wasserman announced plans to explore a sale following the surfacing of past emails to Ghislaine Maxwell as part of the Epstein Files investigation.

Background and Recent Developments

Casey Wasserman, who founded the agency in 2002, announced his intention to step aside and focus on the 2028 Los Angeles Olympics, which he leads, in a February 13th memo to staff. The agency has faced scrutiny and lost several high-profile clients in the wake of the revelations regarding his past correspondence.

Wasserman owns 40 percent of the agency, with the remaining 60 percent held by private equity firm Providence Equity.

Moelis & Co.’s Role and Expertise

Moelis & Co. Has a strong track record in advising on agency transactions, including the sale of Excel Sports Management to Goldman Sachs, General Catalyst’s acquisition of Athletes First, and a minority stake investment in UTA by EQT Private Equity. The firm also previously advised Brillstein Entertainment Partners during its sale to Wasserman three years ago. The Hollywood Reporter confirms Moelis’s involvement.

Currently, Moelis is also representing Netflix in its potential takeover of Warner Bros Discovery (WBD) and is advising on the sale of Major League Soccer’s (MLS) San Jose Earthquakes. Yahoo Sports reports on these additional engagements.

Potential Suitors and Agency Valuation

Wasserman is anticipated to attract interest from a range of potential buyers. Rival agencies such as Creative Artists Agency (CAA), UTA, and WME are considered possible bidders. Private equity firms, including Brown Capital and KKR (through its recent acquisition of Bearswhich), are also being mentioned as potential suitors. MSN highlights these potential bidders.

As of last July, Wasserman had an estimated $9.52 billion in playing contracts under management, representing 4,360 athletes. The agency’s total potential commissions were estimated at $956 million, ranking it as the second most valuable sports agency. The Hollywood Reporter provided this valuation data.

Impact on LA28 Olympic Role

Casey Wasserman’s future as the head of the 2028 Los Angeles Olympics remains uncertain. Los Angeles Mayor Karen Bass has publicly stated her belief that he should step down from the role, despite support from the LA28 board. The International Olympic Committee (IOC) has declined to comment further, stating the matter is currently under review by the LA28 board. The Hollywood Reporter details the ongoing scrutiny of Wasserman’s position with LA28.