WEBVTT - Sacramento Kings CEO on SPAC Listing

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<v Speaker 1>This is Bloomberg Business Week with Carol Messer and Jason

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<v Speaker 1>Kelly on Bloomberg Radio. Delighted to catch up it's been

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<v Speaker 1>too long with our friend Vivek run A DVA. He

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<v Speaker 1>is the CEO, founder, managing director of bo Capital Management,

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<v Speaker 1>also the owner of a little basketball team called the

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<v Speaker 1>Sacramento Kings, and this is very exciting. He's joining us

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<v Speaker 1>from the bubble. Carol, this is the first time I've

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<v Speaker 1>talked to somebody in the bubble. Obviously, we're referring to

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<v Speaker 1>Walt Disney World, where the NBA and number of NBA

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<v Speaker 1>teams are playing that. How are you. What's it like

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<v Speaker 1>down there? Well, it's great. You know, we get tested

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<v Speaker 1>like once or twice a day. But kudos to Adam

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<v Speaker 1>Silver and the NBA for creating the bubble. Everyone is

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<v Speaker 1>buyers free, the games are going on. I wish my

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<v Speaker 1>team was doing better, but it's been. It's fantastic here. Yeah,

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<v Speaker 1>I wasn't going to bring that up. It's been a

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<v Speaker 1>tough run. But but listen, an amazing experience and hopefully

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<v Speaker 1>we can talk a little basketball in a second. I

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<v Speaker 1>do want to ask you, though, because you are in

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<v Speaker 1>the midst of another boom of sorts, which is in

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<v Speaker 1>these blank check companies, the spacks special purpose acquisition companies.

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<v Speaker 1>Tell us about why you chose this way of going public.

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<v Speaker 1>Tell us about bo X. Yeah, so I started boy

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<v Speaker 1>X a few years ago. It stands for Better Our World.

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<v Speaker 1>And there's just two investors in the venture capital part

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<v Speaker 1>of Bowl, which is the ten campus. You see, system

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<v Speaker 1>is the largest research platform in the country, and myself

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<v Speaker 1>and where the board, the entrepreneurs, the arrow, and it's

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<v Speaker 1>really the mission is to fund companies that use technology

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<v Speaker 1>to advance society. So I built this platform out and

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<v Speaker 1>I was seeing companies stay private longer, and many of

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<v Speaker 1>the entrepreneurs were coming to me. They called me the

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<v Speaker 1>o G. I they say stands for original Gangster, Ready

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<v Speaker 1>to get me in, the old guy. And they were

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<v Speaker 1>coming to me and asking me for help and saying, hey,

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<v Speaker 1>can you invest? Can you help uh? And we're entering

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<v Speaker 1>a really exciting era right now. I call it kind

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<v Speaker 1>of civilization three old, where they're transitioning from the industrial

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<v Speaker 1>age to the digital age, and it's going to create

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<v Speaker 1>the largest wealth creation opportunity in human history. So there's

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<v Speaker 1>a trillion dollars plus that's gone into these private tech

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<v Speaker 1>companies and they still remain private and they need to

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<v Speaker 1>come out on the other end. So we have these

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<v Speaker 1>rocket ships that are waiting to burst out, just get

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<v Speaker 1>out of its it and reach of the stars. And

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<v Speaker 1>what they need is rocket field. They need, they need money,

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<v Speaker 1>they need it quickly. They need coaching, they need mentorship,

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<v Speaker 1>they need connections, uh, they need certainty, and they need

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<v Speaker 1>to be able to execute on all of that. Now,

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<v Speaker 1>one of the things about great entrepreneurs, and I was

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<v Speaker 1>lucky to be friends with guys like Steve Jobs, is

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<v Speaker 1>that they were also great storytellers. And the new generation

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<v Speaker 1>of entrepreneurs is no different. They want all the same things.

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<v Speaker 1>They want certainty, they want speed, they want execution, and

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<v Speaker 1>they too are great storytellers. Now, the beauty of this

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<v Speaker 1>back is that you go out under a S four,

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<v Speaker 1>which is a murger agreement as opposed to S one

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<v Speaker 1>with an I P O. So with that you can

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<v Speaker 1>actually tell the story, you can provide future projections, and

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<v Speaker 1>so it's the absolute perfect fuel for these new rockets

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<v Speaker 1>that we're seeing. It sounds like you already have some

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<v Speaker 1>entrepreneurs in mind, Is that fair to say? And if so,

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<v Speaker 1>I'm just curious about the types of technologies, you know,

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<v Speaker 1>the visions or the visionaries that are capturing your attention

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<v Speaker 1>right now. Is that Yeah, So we have about companies

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<v Speaker 1>that we've been tracking. You know, think of us as

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<v Speaker 1>a reverse soft bank. SoftBank comes in at the end

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<v Speaker 1>and gives you big checks and you know, with the

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<v Speaker 1>one hour meeting. So on the other hand, we're working

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<v Speaker 1>with these companies that many of them are in our portfolio.

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<v Speaker 1>We see the first deck, we see the second deck.

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<v Speaker 1>We get to know them. We have data, we have history,

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<v Speaker 1>we have a relationship, and so these are game changing companies.

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<v Speaker 1>You know, these are companies that are using data to

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<v Speaker 1>completely disrupt entire sectors. So we have a company called

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<v Speaker 1>Farmers Business Network in our portfolio, uh, and you know,

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<v Speaker 1>they are using data to disrupt our agriculture. They started

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<v Speaker 1>as a uh Bloomberg for farmers and have now become

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<v Speaker 1>kind of a Amazon for farmers. Gigantic market, brilliant visionary entrepreneurs,

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<v Speaker 1>already doing hundreds of millions in revenues doubling every year.

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<v Speaker 1>So we have you're like a hundred and fifty companies

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<v Speaker 1>that we think are stackable, and about fifty of them

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<v Speaker 1>that are speccable in the not too distant future. I

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<v Speaker 1>love the terms specable. That has become so interesting. I mean,

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<v Speaker 1>it's also interesting to see who's getting into this spat

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<v Speaker 1>game as it were. I mean, we're not too far

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<v Speaker 1>removed from having someone also well known in the sports world,

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<v Speaker 1>Billy Bean, get involved in the sports side of this.

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<v Speaker 1>The a special purpose acquisition company. How do you sort

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<v Speaker 1>of differentiate at this point, VIVEC, when it does seem

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<v Speaker 1>like the money is sort of pouring into and a

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<v Speaker 1>lot of smart folks like you are seeing this as

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<v Speaker 1>an opportunity, how do you tell the story a little differently. Yeah,

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<v Speaker 1>so I'm going for a different type of company. I'm

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<v Speaker 1>not going for kind of what the New York private

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<v Speaker 1>equity guys are going forward. I'm going for the growth company.

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<v Speaker 1>I'm going for the rocket ships. Uh. And you know,

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<v Speaker 1>the last thing that those guys want is to uh

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<v Speaker 1>to have an activist uh work with them. Just like basketball,

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<v Speaker 1>basketball become a players league, so the business of building

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<v Speaker 1>companies has also become a players league, and entrepreneurs want

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<v Speaker 1>to work with other entrepreneurs. They want people who have

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<v Speaker 1>been there, done that, who know what it's like to

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<v Speaker 1>invest in growth, to build a salesforce, to invest in

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<v Speaker 1>R and D, to build new products, to conquer new markets.

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<v Speaker 1>Entrepreneurs want fellow entrepreneurs. Uh, And so we're very different.

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<v Speaker 1>You know, we're looking at high growth days that could

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<v Speaker 1>be and we're looking for venture type of returns on

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<v Speaker 1>these companies. So we're not looking for you know, if

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<v Speaker 1>there was a twenty percent uptick and value, I would

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<v Speaker 1>personally be disappointed. You know. I believe that this is

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<v Speaker 1>an opportunity where the risk is lower because these are

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<v Speaker 1>going businesses. They have a critical mass, they have customers,

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<v Speaker 1>they have technology and uh. But at the same time,

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<v Speaker 1>you could get a five ten x type venture like

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<v Speaker 1>return on these companies. So that's what's really exciting out

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<v Speaker 1>where you sit right now. So all right, I gotta

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<v Speaker 1>I'm gonna go to basketball before we uh we lose

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<v Speaker 1>you or we run out of time. We can talk

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<v Speaker 1>to you all afternoon. You know, you said something really

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<v Speaker 1>interesting that that that we only have a minute to

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<v Speaker 1>talk about. Player of empowerment, the Players League. This has

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<v Speaker 1>been quite a moment for the NBA. What do you

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<v Speaker 1>do in a minute or less as an owner to

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<v Speaker 1>ensure that players have the voice that they need. Yeah.

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<v Speaker 1>So I've always been all about the players, and so uh,

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<v Speaker 1>you know, we uh you know, in my mind, I

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<v Speaker 1>was the first person to support Black Lives Matter, which

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<v Speaker 1>was important to our players. You know, it's the first

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<v Speaker 1>person to speak out against what happened at the Clippers.

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<v Speaker 1>So we talked to our players. You know, we hold

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<v Speaker 1>uh sessions where we get together players, kids from the

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<v Speaker 1>inner city, you know, the police. So the players have

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<v Speaker 1>a huge voice in the NBA. Uh. You know. One

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<v Speaker 1>of the things I love about basketball in the NBA

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<v Speaker 1>is that, you know, we don't really care what all

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<v Speaker 1>of your skin is, what your ethnicity, your religion, your

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<v Speaker 1>sexual orientation. You know, we just got one question. You've

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<v Speaker 1>got game. If you've got game, then come join us.

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<v Speaker 1>And that's what I love about sports. Absolutely Well, best

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<v Speaker 1>of luck. I know it has not gone exactly the

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<v Speaker 1>way you wanted there in Orlando, but what an amazing

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<v Speaker 1>experience to be there in the bubble and see it

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<v Speaker 1>all happen that that grandad diva. He is the CEO, founder,

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<v Speaker 1>managing director Sacramento Kings and a Vogue Capital Management