July 22, 2022

Read in Browser [[link removed]]

POWERED BY

Have you checked out Front Office Sports’ podcast The Leadoff? In today’s edition, we tackle the NFL’s enormous international expansion, the PGA’s new partnership with the Dodgers’ investment group, and more important stories in the business of sports. Click here to listen [[link removed]].

Barcelona Sells Additional 15% Stake in Media Rights [[link removed]]

FC Barcelona

FC Barcelona was not interested in La Liga’s agreement with CVC Capital Partners, but the team is doubling down on its own private equity deals.

Barca agreed to sell [[link removed]] an additional 15% stake in its broadcasting rights to investment firm Sixth Street, boosting the company’s total stake to 25%.

The deal is reportedly worth around $327.4 million, bringing [[link removed]] its total investment in Barca’s media rights to $539.7 million.Sixth Street will hold its stake for 25 years.The firm would rake in around $1.1 billion over that period based on the media rights’ current value, per ESPN, though the annual haul will fluctuate.

Barca president Joan Laporta said in August 2021 that the team held $1.4 billion in debt, including $688.6 million owed to banks.

The team aims to use the fresh capital to register a handful of summer signings.

Going Solo

The team opted out of La Liga’s similar deal with CVC in 2021. The top-flight Spanish league sold an 8.25% stake in its media rights for $2.1 billion.

“We want to recover this asset in 25 years,” Laporta said. “The [CVC] operation that was presented was collective, and Barca have their own special value.”

Warner Bros. Discovery, BT Group $773M Merger Approved [[link removed]]

BT

Warner Bros. Discovery and BT Group have been given approval by the U.K.’s Competition and Markets Authority to merge Eurosport UK and BT Sport.

Under the $773 million agreement [[link removed]], BT Sport will become a Warner Bros. Discovery subsidiary in a 50-50 deal and earn $113.6 million over the next three years. BT Sport will gain up to an additional $660 million based on its performance, and Warner Bros. Discovery will have the option to buy out BT.

Now that it’s approved, the deal shouldn’t take long.

“We now look toward day one of the new business, which we hope will be in the coming weeks,” Marc Allera, CEO of BT’s consumer division, said [[link removed]].

The companies will remain under their existing brands before merging into one later.

Together, the new network will hold rights to a variety of major sports properties including:

English Premier LeagueUEFA Champions League and Europa LeagueOlympicsGrand Slam tennis tournamentsTour de France and other cycling events Moving Pieces

The deal’s original announcement was made not long after Warner Bros. Discovery became a single company in April as part of a $43 billion deal.

Sports streaming service DAZN was reportedly [[link removed]] close to acquiring BT Sport for $800 million in January, but fell through when BT Sport proved [[link removed]] “uneconomical” for the business, according to DAZN chairman Kevin Mayer.

SPONSORED BY MANSCAPED

The G.O.A.T. of Men’s Trimmers

Say goodbye to heavy chafing, sweating, and body funk while working out…take your fitness game to the next level and shift your grooming routine into high-gear with The Lawn Mower® 4.0 body hair trimmer by Manscaped [[link removed]].

This 4th generation trimmer features:

SkinSafe™ Technology to help reduce nicks and snags Quietstroke® Technology for a smooth, low-vibration shave A 400k LED spotlight to see your pride jewels Two clip-on adjustable guards for a more customized trim A convenient, waterproof design that’s perfect for shaving in the shower

Trusted by over 4 million [[link removed]] men and professional athletes, there’s never been a more clean-cut choice when it comes to performance grooming tools.

Shop now for 20% OFF [[link removed]]. Your balls will thank you®.

Disney+ Losing Subscribers After Missing Out on IPL Rights [[link removed]]

IPL

Disney lost streaming rights to the Indian Premier League earlier this year —and many of its subscribers could be leaving with it.

“We now expect the company to come in below its 230-260 million guidance with 213 million as Disney+ Hotstar (in India) drops down to roughly a third of subs (versus the 43% estimate previously,” MoffettNathanson analyst Michael Nathanson reported [[link removed]] concerning the 2024 guidance.

The company added 7.9 million subscribers in its last quarter, totaling 137.7 million.

Not all is lost for Disney. Nathanson noted the company’s direct-to-consumer business will bring in a 2024 profit of $300 million — a substantial increase from the previously forecasted loss of $310 million.

Nathanson says the increase is from “removing our estimated jump in IPL costs needed to secure the rights.”Disney signed a $3 billion deal [[link removed]] for exclusive IPL TV rights. Price Hike

Star India, which Disney acquired in 2019, paid $2.2 billion for digital and TV rights from 2017-22. This was the first year media rights were split into separate packages.

“We chose not to proceed with the digital rights given the price required to secure that package,” Rebecca Campbell, Disney’s chairman of international content and operation, said.

Viacom18, a joint venture between Reliance Industries, Paramount Global, and Bodhi Tree Systems, locked in the streaming rights from 2023-2027 for $2.6 billion.

Conversation Starters A report that the Premier Lacrosse League shared exclusively with Front Office Sports reveals [[link removed]] that the 2022 All-Star Game at Gillette Stadium was the highest-attended All-Star Game in league history, showing a 38% increase from the previous record. The IndyCar Series returns to Iowa Speedway this weekend after a one-year hiatus and will feature [[link removed]] pop-up Hy-Vee stores as well as concerts from Tim McGraw, Gwen Stefani, and Blake Shelton. The Los Angeles Rams were awarded [[link removed]] their Super Bowl LVI championship rings, which boast the heaviest carat weight in sports history.

SPONSORED BY COINBASE

The Benefits Crypto Provides Athletes

Crypto at its core is grounded in the idea of empowering the individual through a decentralized currency [[link removed]], providing everyone the freedom to buy, sell and trade without intermediaries.

As professional sports teams and leagues have begun to adopt crypto in recent years, athletes have capitalized on the freedom and opportunities it provides as well.

In the final lesson of Crypto in Sports Essentials [[link removed]], WNBA star, Jewell Loyd of the Seattle Storm shares her view on crypto, how she utilizes it to create content, engage in communities and start meaningful conversations. Plus, what the future holds for athletes who are getting involved in crypto at both the professional and collegiate level.

Sign up [[link removed]] for the course today to learn more.

Market Movers

Major indices dipped on Friday. Here’s a look at the top movers among sports-related stocks.

LSXMK [[link removed]]

Liberty Media Corp.

[[link removed]]

$39.34

[[link removed]]

+0.31%

[[link removed]] MSGS [[link removed]]

Madison Square Garden Sports Corp

[[link removed]]

$157.48

[[link removed]]

-0.22%

[[link removed]] VFC [[link removed]]

VF Corp.

[[link removed]]

$47.32

[[link removed]]

-0.57%

[[link removed]] PLNT [[link removed]]

Planet Fitness Inc

[[link removed]]

$79.34

[[link removed]]

-1.02%

[[link removed]] ARMK [[link removed]]

Aramark

[[link removed]]

$31.77

[[link removed]]

-1.91%

[[link removed]] What to Watch

The Chicago White Sox (46-46) host the Cleveland Guardians (46-44) on Friday at Guaranteed Rate Field.

How to Watch: 8:10 p.m. ET on Apple TV+

Betting Odds: White Sox -1.5 || ML -150 || O/U 8.5

Pick: Expect the White Sox to win at home. Take Chicago on the moneyline.

Refer Friends, Win Merch

Ready to rep your favorite newsletter? Refer your friends and colleagues to Front Office Sports and you could win FOS merchandise.

It’s easy to spread the word. Copy and paste your unique link below and share it in an email or on your timeline.

Your custom referral link:

[link removed] [[link removed]]

Or use these one-tap sharing methods:

Email [[link removed]] Twitter [[link removed]] Facebook [[link removed]]

Your referral count: 0

Terms & Conditions

If this email was forwarded to you, you can subscribe here [[link removed]].

Written by Owen Poindexter [[link removed]], Abigail Gentrup [[link removed]] Edited by Matthew Tabeek [[link removed]], Brian Krikorian [[link removed]]

MORE FROM FRONT OFFICE SPORTS:

The Leadoff [[link removed]] - Daily business of sports podcast

Front Office Sports Pro [[link removed]] - The most promising opportunities where sports meets industry

Front Office Sports Learning [[link removed]] - Professional education at the speed of culture

Copyright © 2022 Front Office Sports. All rights reserved.

80 Pine Street Suite 3202 New York, NY 10005

Advertise [[link removed]] / Update your preferences [link removed] / Unsubscribe [link removed]