Get ready for a game-changing deal in the media industry as News Corp shakes things up with the sale of Foxtel to DAZN. In a move that amounts to a whopping A$3.4bn (US$2.1bn), Rupert Murdoch’s media empire is streamlining its focus towards news, property, and publishing. Let’s dive into the details and implications of this significant transaction.
- News Corp, holding a majority share of 65% in Foxtel, will retain a minority equity stake of 6% in DAZN. This strategic move positions News Corp as a key player in the future direction of DAZN, with a seat on the board of directors.
- Telstra, the Australian telecommunications giant, is also part of this deal by selling its 35% stake in Foxtel. In exchange, Telstra secures a 3% ownership in DAZN, aligning its interests with the evolving landscape of digital media.
This bold move by News Corp signals a shift towards honing its core businesses such as Dow Jones, the Wall Street Journal’s publisher, online property listings, and book publishing. Robert Thomson, News Corp’s CEO, highlighted the sale as a strategic decision to propel the growth trajectory of the company’s fastest-growing ventures.
- DAZN, a sports streaming service under the umbrella of Access Industries, helmed by Sir Leonard Blavatnik, has been actively pursuing sports rights globally. Noteworthy deals like the recent $1bn agreement with Fifa to broadcast the club world cup underscore DAZN’s commitment to expanding its sports portfolio.
Through the acquisition of Foxtel, DAZN gains a significant foothold in the Australian sports market. With broadcasting rights to major sporting events like the Australian Football League and Cricket Australia, DAZN secures coveted content that will resonate with sports fans across the continent.
As the deal awaits regulatory approval, the integration of Foxtel’s assets and expertise into the DAZN fold is poised to redefine sports streaming dynamics in Australia. Patrick Delany, the current chief of Foxtel, is set to continue his leadership role under the new ownership, ensuring a seamless transition for the stakeholders involved.
In conclusion, the News Corp-Dazn deal exemplifies a strategic realignment in the media landscape, opening doors to new possibilities and reshaping the future of sports broadcasting in Australia and beyond. Stay tuned as this partnership unfolds and sets the stage for an exciting chapter in the realm of digital media innovation.
