NBL exploring sale of Tasmania JackJumpers

The NBL has revealed a potential sale of the Tasmania JackJumpers, with Australia’s elite National basketball league looking for “the right owners to take the team forward”.

If sold, the JackJumpers will be the first NBL team to change hands since the Perth Wildcats were bought by Sports Entertainment Group (SEG) in 2021 for a reported fee of $8.5 million.

Speaking to SportsPro Media, NBL Chief Commercial Officer, Brad Joyner advised that proceeds from the sale will be reinvested back into the league to focus on growth around factors such as fanbase, audience and reach both domestically and abroad.

Joyner advised “we are now globally recognised as the second best domestic professional basketball league in the world.

“We are a proven pathway to the National Basketball Association (NBA) for top talent, we are truly global and transnational with teams in Australia and New Zealand - with more transnational expansion opportunities afoot.

“Importantly, we are privately owned which allows the league to be agile and pivot quickly towards opportunities with a singular goal of growth. The Tasmania JackJumpers project has always been about growing the league, and new owners will be chosen not only on financial capabilities, but on skill, experience and their vision to grow the organisation that will in turn continue to grow the league.”

Founded in 2020, the JackJumpers, who reached the semi-final stage in last season’s playoffs, are a profitable franchise and have sold out every game since their inception. The team have received support from the Tasmanian Government, which has committed to funding the development of a new high-performance facility next to the team’s home at the MyState Bank Arena in Hobart.

Rhys Lenarduzzi, Director at Freshwater Strategy, the consultancy firm working with the NBL on the potential sale, told SportsPro “the JackJumpers is now a well-run business that (NBL majority owner) Larry Kestelman feels is ready to be handed over to its long-term rightful owners for the next stage of its growth.

“All potential owners need to make their case. We’re not short on interest but from the moment Mr Kestelman and the NBL engaged us at Freshwater Strategy, it has been about finding the right owners to take the team forward.

“It’s never been about a quick deal or even finding an owner with the deepest pockets. The JackJumpers have become an integral part of the Tasmanian community and future owners will need to recognise, understand, and nurture that.

“The organisation has lofty ambitions so skilled and bullish owners will be welcomed.”

While the franchise’s valuation is not being disclosed due to confidentiality agreements, Lenarduzzzi says the plan is to complete the sale over the coming months to allow the new owners time to settle in before the next season. He also suggests that a consortium containing a mix of “passionate” investors from both Tasmania and experienced sports investors from overseas would be ideal.

He added “we’ve given Tasmanians a bit of a head start to issue expressions of interest in owning, or part owning, the team.”

Earlier this year, Kestelman spoke about being “blown away” at the interest in new NBL expansion teams. He has outlined that any bid for a new team would need to include sufficient fan interest, government backing, a NBL-standard venue and support from businesses.

Cities such as Newcastle, the Gold Coast and Darwin, have already been reported as contenders to host a new team, with the JackJumpers’ success providing a strong blueprint for new outfits to follow.

The 2021 sale of the Wildcats was approved once Craig Hutchinson, SEG Chief Executive, stepped down as co-Chairman of another NBL team in Melbourne United, with SEG also subsequently divesting its 25% stake in the Victorian team.