Qatar buying a stake in Wizards, Capitals, Mystics, reports say - ESPN

Qatar's sovereign wealth fund is buying a roughly 5% stake in the parent company of the NBA's Washington Wizards, NHL's Washington Capitals and WNBA's Washington Mystics as part of a $4.05 billion deal, a person with knowledge of the sale said Thursday.

The person spoke to The Associated Press on condition of anonymity because the agreement between the Qatar Investment Authority and Monumental Sports & Entertainment had not been announced.

It is believed to be the first time the government of Qatar is investing in U.S. professional sports. Sportico first reported the transaction, saying it is the first time any sovereign wealth fund has bought into ownership of an American team.

It is not Qatar's first big foray into major sports. The Middle Eastern country last year hosted soccer's World Cup for the first time, helping FIFA reach a record revenue level because of booming ticket and hospitality sales.

Qatar Sports Investments, a subsidiary of the state-run fund, has owned majority control of French soccer club Paris Saint-Germain since 2011. The same group agreed in October to buy a 22% stake in Portuguese club Braga.

Getting into a top U.S. market, even as a minority partner, is further expansion of Qatari reach into the sports world.

NBA spokesperson Mike Bass said the league's Board of Governors decided in November to allow «passive, non-controlling, minority investments in NBA teams by institutional investors, including university endowments, foreign and domestic pension funds and sovereign wealth funds, subject to a set of policy guidelines adopted at that time.» All investments fitting that bill require league review and NBA Board approval.

«The NBA Board is currently reviewing a potential investment by QIA in