Patrick Mahomes-advised SPAC company to liquidate after raising $250,000,000: Report
Disruptive Acquisition 1, which has Patrick Mahomes listed as an advisor, will liquidate and return all of its capital to its shareholders according to Sportico.
The company raised $250,000,000 in March of 2021 when the price of their shares was $10, but it appears things have gone downhill since.
Disruptive Acquisition 1 hoped to find a business to go public with after it raised $250,000,000 with a focus on wellness and health companies. However, a partner could not be found within the time limit (March 26, 2024). Now, the company will be shutting its doors forever.
Rather than save the company, per the filing with the Securities and Exchanges Commission, the company will dissolve and liquidate, per Sportico.
Patrick Mahomes was not the only athlete on board Disruptive Acquisition 1. Their "Athlete Advisory Council" also featured tennis sensation Naomi Osaka, FC Barcelona soccer star Robert Lewandowski, super middleweight world boxing champion Canelo Alvarez and Houston Astros pitcher Justin Verlander.
The council's aim was to help the SPAC identify potential business targets, given the influx of cash into sporting institutions of late. The NFL, in particular, has seen two franchises sold in recent years - the Denver Broncos, purchased by the Walton-Penner group for $4.65 billion, and the Washington Commanders, purchased by Josh Harris' investment group for $6 billion.
Patrick Mahomes' other business interests explored
Mahomes may be a three-time Super Bowl champion but he is also building a business empire on the downlow. Mahomes is currently top of the list of highest-paid QBs in terms of total contract value at $450,000,000.
Additionally, he also has endorsement deals with the likes of Oakley, Essentia Water, Hy-Vee, State Farm, DirectTV, Adidas, and Head & Shoulders.
When it comes to investments, it appears the Chiefs superstar is veering towards sports itself. In 2020, Mahomes joined the ownership group at MLB's Kansas City Royals as a minority stakeholder. He later invested in two soccer franchises in Kansas City - the Kansas City Current, which plays in the NWSL and Sporting KC, which plays in Major League Soccer.
Kansas City Current's $117 million CPKC Stadium was inaugurated earlier this year and is the world's first stadium built specifically for a women's pro sports team.
Patrick Mahomes and Chiefs aim for historic three-peat
With the Chiefs winning back-to-back Super Bowls, the franchise can do something no other NFL team has ever done: win three consecutive Super Bowls.
Patrick Mahomes had perhaps his worst supporting case for the 2023 season. Crucial drops seriously hindered the offense's ability to consistently put up points, as they lost the most regular season games under Mahomes' watch (six).
The 11-6 record was enough to claim home-field advantage for the playoffs, as they eased past the Miami Dolphins, and it was then onto the Buffalo Bills.
Mahomes beat Josh Allen and then the Baltimore Ravens in the AFC Championship game before sneaking past the San Francisco 49ers in the Super Bowl.
With the return of defensive star Chris Jones and the acquisition of Hollywood Brown, Kansas City is loading up. L'Jarius Sneed is now with the Tennessee Titans and won't be returning for the Chiefs in 2024.
With the NFL Draft approaching, Kansas City could draft a receiver to give Patrick Mahomes even more weapons. That is a scary thought for the rest of the NFL.
Three-peats are impossible to win in the NFL, but the Chiefs appear to be giving themselves every chance at doing the impossible.