From $6.5m to $124m: LeBron James’ Liverpool bet pays off 19-fold

In 2011, LeBron James made a decision that would prove to be one of the most lucrative investments in sports history. While most of the basketball world was fixated on the Miami Heat’s “Big Three” era, James quietly acquired a 2% stake in Liverpool FC for 124 million.

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A Discounted Deal

At the time, Forbes valued Liverpool at approximately $552 million. However, James’ 325 million** — suggesting James secured the stake at a significant discount.

Rather than paying cash outright, James and his business partner Maverick Carter struck a marketing deal with Fenway Sports Group (FSG), which had acquired Liverpool just a year earlier in October 2010 for about £300 million. FSG agreed to manage James’ global marketing rights, and in return, he received the 2% equity stake.

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Liverpool’s Meteoric Rise

The timing proved impeccable. Liverpool were deep in debt under previous owners Tom Hicks and George Gillett, forcing a fire sale. Since then, the club has transformed into a commercial powerhouse, winning the Premier League, Champions League, and multiple other trophies while expanding its global fanbase.

Forbes now values Liverpool at 124 million — representing a gain of more than 1,800% and roughly a 19-fold return.

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From Liverpool to Fenway Empire

However, James no longer holds that direct 2% Liverpool stake. In March 2021, he and Carter converted their Liverpool shares into an approximate 1% ownership stake in FSG itself, becoming the group’s first Black partners. This gave them exposure to FSG’s entire portfolio, which includes the Boston Red Sox, Pittsburgh Penguins, Roush Fenway Racing, and 80% of the New England Sports Network.

Based on Forbes’ 2024 valuation of FSG at 129.5 million — an even greater return on his initial investment.

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A Legacy of Vision

James’ business acumen has drawn comparisons to Warren Buffett. As Carter put it at the time: “Working with Fenway Sports Group for the past decade has taught LeBron and me so much about the business on a global scale, and we’ve always believed it would lead to something bigger”.

What makes the investment particularly remarkable is that James didn’t buy into a finished product. He invested in a distressed asset at its lowest point and rode the wave of a historic turnaround. In an era of quick-flip crypto trades and fleeting sports investments, LeBron won by waiting.