A British sports streaming company has bought Foxtel Group for $3.4 billion (US$2.1 billion).
In a statement released on Dec. 23, Foxtel Group announced DAZN had committed to maintaining a local head office, local leadership, and local sports and entertainment product as part of the deal.
Foxtel Group, whose shareholders include Telstra and News Corp, said 100 percent of the Australian subscription television company would be handed to DAZN.
News Corp will hold a minority equity interest of 6 percent in DAZN, and Telstra will hold 3 percent.
Foxtel Group CEO Patrick Delany, who will remain the CEO following DAZN’s acquisition, said it was a step forward for the company.
“We are excited to be joining the DAZN family and to have them backing the Foxtel Group‘s strategy and our team,” he said.
“It means we will remain a proudly Australian-based business with local character, local management and local sports and entertainment production.
“DAZN is a global leader in sports, and being part of a dynamic global streaming group will create new growth options for the Foxtel Group and new value for subscribers and partners.”
The transaction of ownership is expected to take place in the new year.
“DAZN’s ownership will provide us with access to global reach and the infrastructure and technology to support our continued transformation and allow us to continue to compete effectively with the global streaming giants,” Delany said.
“We are grateful to News Corp and Telstra for their unwavering support over the past 30 years. With News Corp’s guidance and support, we have reinvented the Foxtel Group as a growth business with 4.7 million subscribers, a dynamic digital advertising business and strong revenues and EBITDA.
“We are pleased that News Corp and Telstra will remain involved with a shareholding in DAZN.”
DAZN CEO Shay Segev said Australians were the world’s biggest consumers of televised sport.
“Foxtel is a successful business that has undergone a remarkable digital transformation in recent years, and we are confident that our global reach and relentless pursuit of innovation will continue to drive the business forward and ensure its long-term success,” he said.
“We are committed to supporting and investing in Foxtel’s television and streaming services, across both sports and entertainment, using our world-leading technology to further enhance the viewing experience for customers.
“We are also committed to using our global reach to export Australia’s most popular sports to new markets around the world, just as we have done with the NFL, and we will continue to promote women’s and under-represented sports.”
The Foxtel Group’s head office will remain in the Sydney suburb of Artarmon.
Consumer brands Foxtel, Kayo, Binge, and Hubbl are all under the Foxtel Group banner.
