Penn State will not use private equity for funding, AD Pat Kraft says, refuting report
Penn State will not be using private equity as a way to fund its athletic department, PSU athletic director Pat Kraft said Monday evening.
His statement comes after a Sportico report claimed PSU and UCLA would be partnering with Elevate in its $500 million College Investment Initiative, which is a fund that is backed by private equity.
The PSU AD emphatically denied the claim that the athletic department would be getting involved with private equity funding.
“We are always in a position of power because of who we are,” Kraft told the CDT. “We don’t need to take private equity money and alter our business.”
The AD previously said in a statement that the department’s relationship with Elevate was strictly limited to ticketing strategy and operations.
Kraft told reporters at Big Ten Media Days in July 2024 that he had no interest in partnering with private equity to fund his athletic department.
“Why would I give up my money?” Kraft said. “I love this private equity, they’re basically saying we’re dumb. We don’t know how to run our business. ... Why would Penn State take private equity money? I’ve got 94,000 season ticket holders. We sell out hockey. We sell out wrestling. I’ve got the best fan base in the country. Why do I need private equity? So someone can tell me I’m stupid? I have enough people around me to tell me I’m stupid. “
