UTA Forms Sports Division With 'Significant Investment' In LeBron James Agent Rich Paul’s Klutch Sports Group

– Rich Paul

United Talent Agency has announced a “significant investment” in leading sports agency Klutch Sports Group, led by founder and CEO Rich Paul. Klutch will continue to operate under its own brand and Paul will now become head of the newly formed UTA Sports, focusing on building UTA’s sports business for athletes in all their professional endeavors, on and off the field.

“Rich has built Klutch with the vision, values and entrepreneurial spirit that UTA cherishes,” said UTA CEO Jeremy Zimmer. “By focusing on growing clients’ businesses and putting their interests first, Klutch is built for the modern athlete who wants to thrive at the intersection of sports, media, music, art and culture. We are thrilled to work with Rich and his team to build Klutch and UTA Sports into a global powerhouse.” Klutch Sports was founded in September 2012 in Cleveland, Ohio, and has quickly emerged as one of the most important agencies in all of sports with clients including NBA stars LeBron James, new teammate Anthony Davis, Draymond Green, Ben Simmons and John Wall. In the last two years, Klutch has negotiated almost $1 billion in contracts, while expanding to offices in Cleveland and Los Angeles, added two All-NBA clients and three first-round draft picks. Main Street Advisors served as Klutch Sport Group’s representative and structured the transaction in collaboration with UTA. “We started Klutch because we believed there was a different way to represent players,” said Paul, who recently adorned the cover of Sports Illustrated. We understood the world was changing and how athletes required an entirely new perspective from their agents. When I met with Jeremy and the UTA team, it was clear to me they were the perfect partner for Klutch’s next phase of growth. They understand and share our view on the future of sports and recognize how there is an entirely new way to represent elite athletes. The innovation, resources and talent at UTA is going to supercharge everything we can do and together, UTA and Klutch, will build a transformative global sports business.” UTA is home to many of the world’s most celebrated artists, musicians, journalists, digital stars and other talent — including Chris Pratt, Will Ferrell, Harrison Ford, Kevin Hart, Angelina Jolie, Kate McKinnon, Tiffany Haddish, Don Lemon, Anderson Cooper, Post Malone, Common and DJ Khaled, among others, and brings to the partnership access to its vast network of entertainment, media and business opportunities. Over the last year, UTA has expanded its global reach, attracted investment from private equity firms Investcorp and PSP Investments to support further expansion, and made a series of acquisitions that added to its full-service capabilities for its clients. Earlier this year, UTA acquired the leading digital influencer company Digital Brand Architects, and in 2018 acquired electronic music agency Circle Talent Agency and top esports companies Press X and Everyday Influencers. UTA also launched Civic Center Media to help clients have both more creative control and greater financial ownership of the content they develop. The partnership with Klutch Sports Group takes UTA directly into the business of contract negotiations for athletes and elevates its sports practice with one of the industry’s most high-profile sports agents. To date, UTA’s work with athletes has focused off the field, representing clients including Olympic Gold medalists Shaun White and Tara Lipinski, NFL Pro Bowlers Von Miller and Rob Gronkowski, NBA All Star Chris Webber and more Skadden, Arps, Slate, Meagher & Flom LLP served as legal advisors to UTA on the deal. Gibson, while Dunn & Crutcher LLP advised Klutch Sports Group.