Food services provider Aramark has become a minority owner in the Athletics, the sides announced Thursday, as part of a deal that makes Aramark the food and beverage operator for the A’s in Las Vegas.
A’s owner John Fisher intends to open a new ballpark for the team in time for Opening Day 2028. Former Raiders president Marc Badain became the Athletics’ president this spring as the franchise looks to raise funds for a project that could surpass $2 billion. Aramark is reported to have committed at least $100 million at an undisclosed valuation; the parties have not shared financial details.
Aramark served Athletics fans when the team played at the Oakland Coliseum. The team is currently playing in Sacramento. The new tie-up will see the concessionaire involved in master planning for the ballpark, alongside designers from Bjarke Ingels Group and HNTB. Eleven Park Madison co-owner Will Guidara is consulting on dining choices and hospitality matters. Aramark has also invested in restaurant groups in recent years in part to expand its set of offerings. The company has put a particular emphasis on premium options, which contribute revenue needed to make good on increasingly expensive venues and serve as enticements for fans deciding between a wide array of entertainment options.
“We really needed to show how we could add value in very different ways than what they knew of Aramark,” Aramark Sports + Entertainment president and CEO Alison Birdwell said in an interview. “We came to the table with a model that I think was one that allowed us to really cement a different type of partnership.”
In Vegas, Aramark envisions a “flagship venue” that demonstrates the company’s forward-looking capabilities, she added.
With new entries into the market, as well as investment and consolidation among existing players, food and beverage contracts are now regularly battled over by six large competitors: Aramark, Delaware North, Legends, Levy, Oak View Group and Sodexo. The opportunity to sign deals lasting 20 years or more increases the pressure on each new venue.
“With the cutthroat nature of our business today—the very competitive landscape—obviously, you get one shot,” Birdwell said.
Venue services bidding processes have received governmental scrutiny, with Oak View and Legends Hospitality recently paying a combined $16.5 million in penalties to the U.S. Department of Justice in connection with allegations of bid-rigging for a new arena in Austin, Texas. That case appears to be related to a Justice Department investigation into Live Nation-Ticketmaster and the alleged monopolization of live entertainment markets, where OVG has also been mentioned. Legends previously paid a $3.5 million fine following allegations of prematurely working together with ASM Global before formally acquiring the company in 2024.
With roots stretching back to the 1930s, Aramark has largely kept its business focused on food, beverage and retail support, rather than branching into other areas of venue management such as suite sales or stadium naming rights deals. The company reported $17.4 billion in revenue in fiscal 2024, up 8% year over year. It currently has a market cap of $11.3 billion.
Aramark is actively bargaining with unionized workers at Fenway Park after they went on a three-day strike Friday. In Las Vegas, the company has a pre-existing relationship with MGM Resorts. In a pair of deals across 2023 and 2024, Aramark sold its minority stake in the San Antonio Spurs for roughly $200 million. The A’s are hoping to sell more than $500 million in team equity as part of ballpark construction efforts. Sportico valued the team at $1.6 billion earlier this year.
“Having skin in the game and the fact that we are all motivated by the same outcomes being successful is instrumental in everyone’s success,” Birdwell said. “Deals in our industry don’t always reflect that. So to me, this is a very refreshing kind of situation.”
