In an interview with Adam Stern of Sports Business Journal, NASCAR President Steve Phelps addressed the increasing interest from private equity firms. He acknowledged the significant shift in investment trends and hinted at a potential future with external financial backing.
Bill France Sr. established NASCAR, and his family has controlled its operations ever since. Since its founding in 1948, NASCAR has remained under the private ownership of the France family.
However, in the coming years, a private equity investment or more investment could change that dynamic. As the sports industry evolves, America’s leading motorsport is positioning itself for international growth.
This long-standing ownership structure has been a point of contention, even playing a role in the ongoing lawsuit involving 23XI Racing and Front Row Motorsports. The lawsuit claims that NASCAR operates as a monopoly, which has sparked discussions about potential changes in ownership and governance.
“Six years ago, private equity firms weren’t as focused on NASCAR as they are today,” Phelps said. “I’ve had numerous conversations with these firms, and they are keen to invest in race teams. They want to understand the sport’s future, and they are buying into what we are selling.”
Phelps believes private equity could benefit NASCAR by bringing in capital, industry expertise, and sponsorship opportunities. Some NASCAR teams have already secured private investments, such as Legacy Motor Club’s recent partnership with Knighthood Capital Management.
Despite the growing presence of private equity in NASCAR, the idea of the France family relinquishing control remains uncertain. While Phelps speaks optimistically about investment opportunities, it is unclear whether this will lead to a fundamental shift in NASCAR’s ownership structure.
Global expansion? It’s possible
The year 2025 marks a major milestone for NASCAR with the launch of a new media rights deal. Several new broadcasting partners will join the sport, including:
- The CW – Exclusive coverage of the Xfinity Series.
- FOX/FS1/FS2 – Continued coverage of the Truck Series.
- TNT Sports & Amazon Prime Video – New partners for the Cup Series.
NASCAR has already begun expanding beyond the U.S. A Cup/Xfinity weekend in Mexico City is scheduled for later this year, signaling a push into international markets. The possibility of hosting races in both Mexico and Canada within the same season is also under discussion, as NASCAR already has established series in both countries.
Other major sports leagues, such as the NFL and Formula One, have embraced global expansion. NASCAR appears to be following suit, with discussions about hosting the Clash in Brazil next year. Given Brazil’s existing NASCAR-sanctioned series, the move would align with the sport’s broader international strategy.
As NASCAR continues exploring expansion opportunities, both in terms of investment and competition, fans can expect more international events in the future. Whether through private equity involvement or global race locations, the sport is on track for significant evolution.
But Phelps added that there’s legitimate reason for optimism in adding a fourth carmaker to the sport.
“We are having robust discussions with a number of [original equipment] partners that someday, if I had to guess and were a betting man, something is going to hit. I just don’t know with whom or the timing of that,” Phelps said. “I know that’s an answer I’ve given repeatedly over the last five years, but they’re facts. There’s no BS in the comment I just made.”
Asked what’s been the toughest part in closing the deal with a fourth, Phelps said it’s been multifaceted, but pointed out that some carmakers don’t make V-8 engines, which NASCAR uses, and that the investment is massive. Entering NASCAR would likely require a nine-figure commitment, industry executives have estimated.
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