Grand Slam Track is trying to borrow its way out of bankruptcy.
New court filings show the league is operating on a short-term rescue loan from Winners Alliance, its original backer and now, effectively, its controlling force. Michael Johnson, on paper, remains in charge day to day, but financially, the league is being kept alive by the same group it already owes the most money to.
As of late December, GST had $143,126 in cash and $31.4 million in total debt, according to filings from chief restructuring officer Nicholas Rubin. That includes $7 million owed to athletes, $13 million owed to vendors, and more than $11 million owed to Winners Alliance, split between secured and unsecured claims.
To continue operating, Winners Alliance has agreed to provide up to $3.25 million in debtor-in-possession financing. The loan carries a 14.5% interest rate and gives Winners Alliance first priority on repayment.
That money, however, is not really going toward clearing unpaid bills, including those owed to the athletes, which only builds on the already painful trust issues between the organization and competitors.
When asked if she would consider returning to GST following a rebuild, Olympian Gabby Thomas told our team there was “no chance” she’d do it again, noting how improbable it will be for the league to draw top-level talent should it ever return.
Court-approved budgets covering the next 13 weeks allocate about $3.03 million almost entirely to operating costs and restructuring expenses. Of that, only roughly $200,000 is set aside for “Racer Contract Guarantees,” a small slice of the money still owed to athletes.
The filings make clear how limited GST’s options became before bankruptcy. Earlier this year, the league hired PJT Partners to run a broad fundraising process, contacting more than 150 potential investors and holding over 30 pitch meetings. Most passed. Common concerns included the league’s early-stage risk, high costs, uncertain media revenue, and lack of a committed lead investor.
Eldridge Industries, which had shown interest, chose to wait until after the Kingston opener in April. After that meet, it declined to invest. With no new capital coming in, GST’s finances collapsed.
That left Winners Alliance as the only backer willing to step in.
It had already provided $13 million in startup funding in 2024 in exchange for equity. The new loan deepens their position and power. Under the terms of the agreement, GST must file a reorganization plan by January 30, 2026, keeping Michael Johnson and COO Stephen Gera in place and acceptable to Winners Alliance. The loan is due by April 15, 2026, at which point it can also be converted into equity.
Grand Slam Track still owes millions, especially to athletes. Bankruptcy may keep the league operating on paper, but it doesn’t fix the trust gap created when payments stopped mid-season. Any future version of GST will almost certainly require money paid upfront, not promised later.
The league continues to live on borrowed time and borrowed money, backed by an investor with the most to lose. Michael Johnson remains the public face. Winners Alliance holds the leverage.
