Chad Weiberg Says Oklahoma State Doesn’t Intend on Using RedBird Credit Line from Big 12 Deal

For the time being, Oklahoma State will not opt in to the credit line through the Big 12’s recent deal with RedBird.

In case you missed it last week, the Big 12 approved a five-year agreement with RedBird Capital Partners, becoming the first conference to have a league-wide, private capital deal.

The deal provides the Big 12 with a $12.5 million capital infusion while the league’s institutions have the opportunity to opt into a $30 million credit line that would have to be paid back with a “double-digit” interest rate, according to ESPN.

It doesn’t sound like many (if any) schools will take RedBird up on that deal, and that includes Oklahoma State. OSU athletic director Chad Weiberg spoke with Dave Hunziker in a podcast that released Friday, where Weiberg cleared things up from the OSU side of things.

“First of all, I give commissioner (Brett) Yormark a lot of credit for providing opportunities to the schools to look at,” Weiberg said. “He is an innovator. He pushes the envelope. He’s not afraid of trying new things to better the conference and all the member institutions. So, I think there’s a little bit of a misconception on this. This isn’t a private equity deal. There’s no ownership stake or control in the conference they’re taking. It’s more of a private investment opportunity. RedBird is a huge global entity. They’ve got a lot of partnerships. The conference office will get out of it some money to be able to invest in some other business entities, take an investment in those to try to grow revenues from a different revenue stream. I think that’s something that’s worth exploring in this time that we’re in. And then the schools have the option to opt into a line of credit through that, and that’s up to each institution. It doesn’t effect the deal with the conference itself.

“As of right now, that is something that Oklahoma State will not do at this point. Should we need something like that, we believe we have other avenues or levers we could pull first before that. But again, I applaud the commissioner for making those options available to us.”

Weiberg and Hunziker also got into some other financial matters, like the report last week that the Big Ten distributed a record $1.37 billion to its 18 members in the 2024-25 fiscal year — a jump of about $500 million. The SEC announced in February that it had distributed more than $1 billion to its 16 members for the fiscal year.

So, dividing that up, that’s about $76 million on average for each Big Ten school and about $62.5 million for each SEC school.

The Big 12 hasn’t announced its allocations yet, but Weiberg said he expects the average Big 12 distribution to come in “north of $35 million.”

“That’s a wide discrepancy,” Weiberg said. “It’s a wider discrepancy than we’ve ever seen in the history of college athletics.”

To try to level that playing field as much as possible, Weiberg said OSU has asked all of its programs to cut expenses by 10%, OSU has increased ticket prices and the Boys From Oklahoma concerts have also helped with that.

It’s an uphill battle, but Weiberg noted that OSU has had to compete with the likes of Texas, one of the highest-funded athletic departments in the country, for years.

“There’s a bigger discrepancy now between what some conferences are getting and what others are than there ever has been before,” Weiberg said. “So, that presents unique challenges in terms of just the level playing field. At the end of the day, when you’re in a competition, part of what makes the competition interesting is when you’re trying to compete on a level playing field. Now, I say that acknowledging that there’s never an exactly level playing field — I don’t care if its the NFL or Major League Baseball or whatever, there’s not that. But I think to keep it interesting, there needs to be some version of a level playing field, and that’s getting very tilted in this environment.

“We’ve competed before. We’ve never been the highest-resourced institution in our conference or in the country or anything like that, and we’ve competed at a very high level in all of our sports, from football through all the other sports. Obviously the 55 national championships are a great indicator of that.”