Swin Cash, a Hall of Famer and former WNBA player, has defended the WNBA's 2022 decision to sell a 16% equity stake for $75 million. This investment, which included Cash, former NBA star Baron Davis, and NBA and WNBA owners like Joe and Clara Tsai, Herb Simon, and Ted Leonsis, initially valued the league at a reported $1 billion. However, Front Office Sports later reported the valuation was closer to $475 million after the capital injection. Cash emphasizes that this capital raise was a necessary step for the league's growth, especially following the pandemic, and provided critical bridge funding for its long-term business transformation.
Since 2024, the WNBA's popularity has surged, significantly boosted by the arrival of star rookies like Caitlin Clark and Angel Reese. This explosive growth has led to a dramatic increase in team valuations, with the WNBA's three latest expansion teams, set to join by 2030, each paying $250 million to enter the league. CNBC estimates that the Golden State Valkyries, a new team joining just last year, have already reached a $1 billion valuation, marking the first women's team in any sport to achieve this milestone. The league is reportedly interested in buying back the 16% stake, which would now cost substantially more than the original $75 million.
Cash views her investment as one of the best she's ever made, not just for financial returns but also for the opportunities it represents for women in sports. She believes the deal has helped the WNBA reach its current moment of success, enabling players to earn more money and participate in equity deals, redefining their relationship with the business of basketball. The league's recent success also includes a landmark negotiation that significantly increased player earnings, including a groundbreaking revenue-sharing deal and a more than quadrupled minimum salary.
