Appaloosa Chief Become Minority Owner Of Pittsburgh Steelers

Sep 25 2009 | 12:06pm ET

Last year, the family that has controlled the Pittsburgh Steelers football team since its inception balked at handing the reins over to hedge fund billionaire Stanley Druckenmiller. For his part, Druckenmiller, the head of Duquense Capital Management, said he wasn’t interested in being a minority owner of the Super Bowl champions.

That, apparently, wasn’t a problem for another hedge fund manager with ties to the Steel City. David Tepper, a Pittsburgh native and founder of Appaloosa Management, is officially a minority owner of the team, after the team’s ownership restructuring was finalized yesterday. He and three others joined team President Art Rooney II and chairman emeritus Daniel Rooney in buying up the shares owned by several other members of the Rooney family and their relatives, the McGinleys.

Unlike Druckenmiller’s proposal, the new deal leaves the Rooney’s firmly in charge, giving them the minimum 30% stake in the team to remain principal owners.

“I am very happy for the family,” Druckenmiller, a Steelers season ticket holder, told the Pittsburgh Tribune-Review. “When they came to me a year-and-a-half ago, it is hard to describe the anxiety the brothers were having to endure given the difficult situation. The fact that they have been able to pull together resulting in an outcome that is satisfactory to all parties is a tremendous achievement and a testament to the strength of the family.”

In Depth

Related-Company Fees: Normal Industry Practice or Conflicted Compensation?

Nov 11 2015 | 4:23pm ET

Regulatory agencies as well as investors are increasingly exploring whether certain...


Ferrari Roars in Wall Street Debut

Oct 21 2015 | 4:28pm ET

Shares of supercar maker Ferrari jumped as much as 15 percent to a high of nearly...

Guest Contributor

Private Debt - What is the Opportunity?

Nov 11 2015 | 3:28pm ET

In this contributed article, Rob Allard, founding partner of Firebreak Capital...


Editor's Note

    Oct 21 2015 | 10:41am ET

    One of the most unique charity benefits in the hedge fund industry, A Leg To Stand On's (ALTSO's) Hedge Fund Rocktoberfest - NYC, raised nearly $500,000 last Thursday thanks to the generous support of major sponsors and nearly 1,400 attendees from the Tri-State finance, business and hedge fund communities. Read more…