Climb-the-ladder JackJumpers change of guard

Article posted by Coliseum, March 7^th, 2025

Image: MyState Bank Arena, Fruit jokes, CC BY-SA 4.0

After a lengthy search for new ownership the Australian businessman Larry Kestelman and the National Basketball League (NBL) sold the Australian professional basketball team Tasmania JackJumpers to the Brisbane (Australia)-based private equity firm Altor Capital, the league announced recently.

‘ESPN’ stated that the JackJumpers were sold for a valuation of $35 million with Astor Capital set to take on a 51 percent stake in the franchise from the middle of 2025 before assuming full ownership in two years. Kestelman will remain involved with the team over the course of that two-year period.

Melbourne (Australia)-based the National Basketball League (NBL) is a men’s professional basketball league in Australasia currently composed of 10 teams: Nine in Australia and one in New Zealand. It is the premier professional men’s basketball league in Australia and New Zealand.

The Tasmania JackJumpers are an Australian professional basketball team based in Hobart, Tasmania (Australia) who entered the National Basketball League (NBL) in the 2021-2022 seasons and play their home games at the MyState Bank Arena and the Silverdome.

The 4,340-capacity Derwent Entertainment Centre, known commercially as the MyState Bank Arena since 2021, is Tasmania’s largest indoor arena serving as Hobart’s primary location for large indoor sporting events, functions and live entertainment.

The Silverdome, Australia’s first indoor velodrome, is an indoor sporting and entertainment venue located in Launceston, Tasmania (Australia) built in 1984. The capacity of the venue is 5,000.

The Altor Capital is a Brisbane (Australia)-based Alternative Asset Manager co-founded in 2015 by Harley Dalton and Ben Harrison.

The company invests in growth-orientated, mid-market companies, public or private. The company operates four core funds that invest in the emerging growth companies. These funds invest across the full capital stack including credit, equity and quasi-equity/debt.

‘ESPN’ further stated the JackJumpers’ substantial valuation comes within 12 months of both the NBL team Perth Wildcats and the Melbourne United being valued at $40 million. Kestelman sold a 10 percent stake in United for $4 million – a $40 million valuation – in March 2024. The Sports Entertainment Group Owner Craig Hutchison sold the Perth Wildcats to the tech entrepreneur Mark Arena for $40 million in July 2024.

Melbourne (Australia)-based the Sports Entertainment Group (SEG), formerly the Pacific Star Network, is an Australian sports media content and entertainment business. The SEG is the Owner and the parent company of the Sports Entertainment Network.

Melbourne (Australia)-based the Sports Entertainment Network (SEN), formerly Crocmedia, is an Australian radio and television distribution company established in 2006. The SEN’s parent company is the Sports Entertainment Group, formerly the Pacific Star Network.

Commented Kestelman, the NBL’s Owner and Executive Chairman, “This is an exciting day for the NBL, the Tasmania JackJumpers and basketball in Tasmania. Together with the Tasmanian Government and the community we built this incredible club from the ground up in only five years and in that time the JackJumpers have become an integral part of the State and the NBL. They have enjoyed remarkable success on and off the court and brought so much joy to so many. From the outset the plan was to build a legacy piece for the State and something the community will have to support and celebrate for decades to come.”

Sources said that as part of the deal 25 percent of the net profit from the sale will be shared among all the NBL teams. Each franchise will receive approximately $900,000 as part of this transaction. These payments would be staggered for when each stage of the transaction is processed.

The JackJumpers are the NBL’s newest franchise joining the league ahead of the 2021-2022 seasons. Under the Head Coach Scott Roth the team won the 2024 NBL Championship becoming the first Tasmanian team to win an NBL title since the Launceston Casino City (a defunct Australian professional basketball team that competed in the National Basketball League) in 1981.

Added Benjamin Harrison, Altor Capital’s Chief Investment Officer, “We are honored to be entrusted with the next chapter of the Tasmania JackJumpers and will be focused on continuing the team’s incredible momentum. We intend to grow the JackJumpers’ impact on the State and in the community even further. We will also ensure the fans continue to have the best entertainment experience in Australia while strengthening the club’s infrastructure and building on the incredible foundations that have been laid since 2020. We will continue to support the JackJumpers Advisory Board and the Executive Team in their desire to secure a Women’s National Basketball League (WNBL) team for the State of Tasmania.”

Along with the desire to establish a WNBL team in the State the Altor Capital has also listed the expansion of the MyState Bank Arena as a priority. The JackJumpers have sold out every game in its short history.

Sydney (Australia)-based the Women’s National Basketball League (WNBL) is a professional women’s basketball league in Australia composed of eight teams. The league was founded in 1981 and is the women’s counterpart to the National Basketball League (NBL).

Observed Christine Finnegan, JackJumpers head honcho, “This ownership transition is a very important part of the JackJumpers journey from start-up to a maturing business which has quickly demonstrated its ability to compete with the best sporting clubs in Australia on and off the court. This new ownership structure provides us with an important platform to continue to build on the club’s incredible successes as an independent license holder in the NBL and I am proud we have been able to demonstrate our investment value in only our fifth year in existence. This announcement is about a strong future for the JackJumpers as an independent body and I would like to thank Coach Scott Roth and all the current and previous staff and players that have helped build the club from its humble beginnings for this new and exciting phase.”

Concluded Finnegan, “While celebrating and acknowledging this milestone I want to ensure everyone understands it is business as usual for the club on and off the court as we focus on its future success. Our focus is on more community engagement and ensuring basketball continues to thrive in this great State.”

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