British Streaming Giant Acquires Foxtel Group in $3 Billion Deal
Foxtel Group has been acquired by a British company, with the finalization of the transaction expected in the new year.
A British sports streaming company, DAZN, has purchased Foxtel Group for $3.4 billion (US$2.1 billion).
On Dec. 23, Foxtel Group announced that DAZN has agreed to maintain a local head office, local leadership, and local sports and entertainment offerings as part of the deal.
All of Foxtel Group, which counts Telstra and News Corp among its shareholders, will be transferred to DAZN.
News Corp will retain a 6 percent minority equity interest in DAZN, while Telstra will hold 3 percent.
Patrick Delany, the CEO of Foxtel Group, will continue in his role following the acquisition by DAZN, which he sees as a positive step for the company.
“Joining the DAZN family is an exciting development for us and demonstrates their support for Foxtel Group’s strategy and team,” Delany stated.
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This ensures that we maintain our Australian identity with local management, operations, and content production,”
“DAZN is a prominent global sports leader, and being part of their innovative global streaming group will offer new growth opportunities for Foxtel Group and enhance value for our subscribers and partners,” he added.
The change in ownership is scheduled to be completed in the upcoming year.
“DAZN’s ownership will provide us with the resources and technology needed for our ongoing evolution and to effectively compete with major global streaming platforms,” Delany explained.
“We appreciate the enduring support of News Corp and Telstra over the past three decades. Under News Corp’s guidance, we have transformed Foxtel Group into a thriving business with 4.7 million subscribers, a robust digital advertising arm, and solid revenues and EBITDA.
“We are pleased that News Corp and Telstra will maintain a stake in DAZN,”
Shay Segev, CEO of DAZN, highlighted that Australians have a strong interest in televised sports.
“Foxtel is a successful company with a remarkable digital transition in recent years. We trust that our global influence and commitment to innovation will propel the business forward and ensure its longevity,” Segev stated.
“We are dedicated to supporting and investing in Foxtel’s television and streaming services, enhancing the viewing experience for customers with our cutting-edge technology.
“Additionally, we plan to expand Australia’s popular sports to new markets worldwide, just like we have done with the NFL, and continue to promote women’s and underrepresented sports.”
The headquarters of Foxtel Group will remain in Artarmon, Sydney.
Consumer brands under the Foxtel Group umbrella include Foxtel, Kayo, Binge, and Hubbl.
