Josh Harris has been making headlines recently as the billionaire investor in talks to acquire the NFL‘s Washington Commanders for a reported $6 billion. This prospective purchase has trained the spotlight on Harris and raised the question – just how did he build such an immense fortune to become a power player in the worlds of finance and sports team ownership?
Harris‘ journey has been defined by smart investments, calculated risks, and seizing opportunities when they arose. Let‘s dive into the key sources of his estimated $5.8 billion net worth and how this deal-savvy businessman cultivated his wealth over the past few decades.
A Quick Summary: How Harris Built His Billions
Before we dive into the details, here‘s a quick rundown of how Josh Harris amassed his wealth:
Co-founded private equity giant Apollo Global Management in 1990, retaining a stake now worth billions
Led Apollo to become one of the world‘s largest PE firms with $480B+ in assets
Cashed out of Apollo to purchase sports teams like the NBA‘s 76ers and NHL‘s Devils
Sports team valuations and equity upside boosted his net worth as franchises prospered
Reportedly preparing $6B bid to buy NFL‘s Washington Commanders and become owner
Now, let‘s start from the beginning and walk through the trajectory of Harris‘ varied career.
Early Life and Education
Josh Harris was born in 1964 and raised in Chevy Chase, Maryland by a upper-middle class family. He displayed business skills from a young age – at just 13, he launched a bicycle painting business targeted at other kids in the neighborhood.
Harris graduated magna cum laude from the University of Pennsylvania‘s prestigious Wharton School in 1986 with a degree in Economics. His time at Wharton forged connections with classmates like Leon Black and Marc Rowan, who would become his future business partners.
Getting His Foot in the Door on Wall Street
Armed with his Wharton degree, Harris landed a coveted investment banking job at Wall Street firm Drexel Burnham Lambert in 1986. He started out in the mergers and acquisitions group, gaining first-hand experience in leveraged buyouts, deal structuring, and private equity.
Harris quickly rose through the ranks at Drexel, reaching the position of Vice President by 1990. However, the firm dissolved that same year due to illegal activities, leaving Harris and other Drexel alumni seeking new opportunities.
Co-Founding Apollo Global Management in 1990
In the wake of Drexel‘s demise, Harris joined forces with his former Wharton classmates Leon Black and Marc Rowan to launch their own firm – Apollo Global Management – in 1990.
They started Apollo with $400 million in investor commitments and a vision of applying the leveraged buyout model to a wider range of assets like distressed companies and real estate. Harris served as a managing principal, overseeing Apollo‘s investments across various sectors.
With Harris‘ deal-making prowess helping lead the firm, Apollo rode the explosive growth of the private equity industry in the 1990s and 2000s. It capitalized on opportunities like purchasing distressed debt during the 2008 financial crisis.
Apollo evolved into one of the sector‘s largest players under Harris‘ leadership, now overseeing alternative assets worth over $480 billion. It manages household names like Caesars Entertainment and ADT security services.
Though Harris stepped down from Apollo‘s management in 2010, he retains a sizeable passive investment as an early equity partner. This stake forms the core of his vast personal fortune.
Major Milestones at Apollo
Here are some key milestones that Apollo achieved under Josh Harris‘ leadership:
- 1990 – Apollo founded with $400 million in initial investor commitments
- 2001 – Took luxury resort company Wyndham International private in $3 billion leveraged buyout
- 2008 – Purchased distressed debt during global financial crisis to acquire companies at steep discounts
- 2017 – Took home security company ADT public via one of largest PE-backed IPOs in history
This enormous success gave Harris the capital and flexibility to leave Apollo in 2010 and pursue his passion for owning professional sports teams.
Acquiring the NHL‘s New Jersey Devils in 2013
In 2013, Harris expanded his business portfolio by acquiring ownership of the NHL‘s New Jersey Devils franchise for around $320 million.
The team had made the Stanley Cup Finals just a year earlier but was struggling financially under previous owner Jeff Vanderbeek. Harris saw unrealized potential and jumped at the opportunity.
After taking over, Harris set out to revitalize the Devils. He rebuilt the roster, hiring veteran general manager Lou Lamoriello. Harris also approved $100+ million in renovations to modernize the Devils‘ home arena.
These investments helped restore the Devils as a competitive franchise and boosted their financial outlook. Based on recent valuation estimates, the team could now be worth over $775 million.
Purchasing the NBA‘s Philadelphia 76ers in 2011
Flush with sufficient capital from Apollo‘s success, Harris set his sights on the NBA‘s Philadelphia 76ers in 2011 as his next sports investment.
He assembled an investor group that acquired the 76ers for approximately $280 million. As part of the deal, Harris became the Managing Owner with primary decision-making authority.
The 76ers had languished as one of the NBA‘s worst teams for nearly a decade. Under Harris‘ oversight, the franchise pursued a complete organizational rebuild.
Harris overhauled the front office by hiring analytics wunderkind Sam Hinkie as General Manager and Daryl Morey as President of Basketball Operations. He also approved investments into sports science facilities and training complexes.
Major accomplishments by the 76ers under Josh Harris:
- Signed All-Star center Joel Embiid to massive 5-year, $148 million contract extension
- Constructed new $82 million training complex with state-of-the-art amenities
- Hired Daryl Morey as President of Basketball Operations in 2020
These changes helped transform the 76ers into an exciting contender after years of futility. The team is now valued at over $2 billion – nearly 10X Harris‘ original investment.
Expanding into European Football with Crystal Palace Stake
Seeking to further diversify his sports portfolio, Harris partnered with American entrepreneur David Blitzer in 2015 to acquire an 18% stake in prominent English football club Crystal Palace FC.
Their roughly $150 million investment gave Harris and Blitzer a foothold in the lucrative Premier League, the world‘s most-watched professional sports league.
Under Harris and Blitzer‘s co-ownership, Crystal Palace has solidified its place in the Premier League and developed into an established top-flight club. Their stake has appreciated significantly as the team‘s valuation rose.
Harris‘ Current Net Worth – $5.8 Billion
According to Forbes‘ latest estimates, Josh Harris has accumulated an impressive personal net worth of $5.8 billion as of September 2022.
The vast majority derives from his ownership stake in Apollo Global Management. Forbes estimates that his Apollo equity alone makes up $5 billion of his fortune.
Harris‘ professional sports team holdings represent his other most valuable assets. The Philadelphia 76ers‘ valuation has ballooned to over $2 billion, while the New Jersey Devils are now worth around $775 million.
Harris‘ 18% share of Crystal Palace FC also adds to his overall wealth.
Commanders Acquisition Bid – $6 Billion
Harris recently made sports headlines with the news that he is preparing a bid to acquire the NFL‘s Washington Commanders for approximately $6 billion. He heads an investment group with backing from fellow billionaires like Citadel‘s Ken Griffin.
The Commanders are currently owned by Dan Snyder, who is facing major pressure to sell the team amidst scandals, investigations, and allegations of misconduct.
If his bid proves successful, the Commanders purchase would make Harris the first former NFL player to become an owner. It would also give him a foothold in the NFL, the most lucrative American sports league generating over $15 billion in revenue annually.
This potential deal demonstrates Harris‘ continued appetite for ambitious investments and further diversification of his sports holdings.
How Did Josh Harris Really Build His Massive Fortune?
Analyzing the arc of his career, Harris‘ phenomenal wealth stems from two primary sources:
1. Apollo Global Management – As a co-founder and managing partner, Harris owns a significant equity stake in Apollo as it grew into one of the world‘s preeminent private equity firms now managing nearly $500 billion in alternative assets. His longtime involvement gave him the resources to pivot into sports ownership.
2. Owning Professional Sports Teams – Harris leveraged his connections and wealth from Apollo to acquire major sports franchises like the 76ers and Devils at opportune times. Their rising valuations and equity upside over the past decade significantly compounded his net worth.
While Harris came from an affluent background, his work ethic, business intellect and risk-taking transformed him into a multi-billionaire. His continued deal-making ambition and diverse investments point to further growth ahead.
Conclusion: A Deal-Maker Finding New Ways to Grow His Wealth
In summary, Josh Harris‘ journey showcases how drive, calculated risks, and identifying opportunities can create immense wealth. His leadership in growing Apollo provided the capital to pursue his passion in owning sports teams. Those franchises have appreciated tremendously under his oversight, supplementing his fortune further.
If Harris‘ $6 billion bid to acquire the Washington Commanders ultimately succeeds, it will plant him firmly among the ranks of NFL owners and open up new avenues to grow his portfolio. For this self-made deal-savvy billionaire, the opportunities to enhance his wealth seem limitless.
