The Atlanta Braves are becoming their own company.

Formula 1 parent company Liberty Media is splitting off the MLB team “through the redemption of Liberty Media’s existing Liberty Braves common stock in exchange for common stock of a newly formed company” called Atlanta Braves Holdings, Inc.

The entity will hold everything currently under the Braves Group, including the Atlanta Braves and The Battery, its associated development project adjacent to Truist Park.

• The split, which still needs several approvals including from MLB, will make Liberty Media and Atlanta Braves Holdings separate publicly traded companies.
• Liberty Media, which acquired the team in 2007, would redeem each outstanding share of its Liberty Braves common stock for one share of the new company.

Braves Group reported $252 million in third-quarter revenue earlier this month.

Tracking Change 

Liberty Media, which has an 81.2% stake in SiriusXM, also announced the creation of a third tracking stock group — Liberty Live Group — through the reclassification of Liberty Media’s remaining common stock after the completion of the split-off. 

Adding to tracking groups Liberty SiriusXM Group and Formula One Group, Liberty Live Group would include the company’s interest in Live Nation — Liberty owns 31% of the company — and certain F1 public and private assets, among other things.

Liberty Media president and CEO Greg Maffei said the moves “will provide greater investor choice and enable targeted investment and capital-raising.” 

The split-off and reclassification is expected to be completed in the first half of 2023.

An activist investor has called on a tech company to end its sponsorship deals with two of the most recognizable brands in sports.

Investment firm Petrus Advisers has asked software giant TeamViewer AG to end its deals with the Premier League’s Manchester United and the Mercedes-AMG Petronas Formula 1 team. 

• Petrus believes the deals are too expensive and show “appalling judgment.”
• The firm holds a stake smaller than 3% in TeamViewer.
• It vowed not to tolerate TeamViewer spending more than $73 million on the deals. 

In March 2021, TeamViewer secured a five-year shirt sponsorship deal with Man U, replacing Chevrolet in a pact worth $57 million annually. It was one of the most expensive shirt deals in soccer behind Liverpool’s $59 million-per-year deal with British bank Standard Chartered. 

In August, TeamViewer decided not to renew its deal with Man U after it expires in 2026, as the company has lost 80% of its market value since the pact after a peak of $10.3 billion in 2020.  

TeamViewer is expected to spend “millions” on its five-year deal with Mercedes’ F1 team. 

Cutting Crypto 

Last week, Mercedes’ F1 team suspended its multiyear sponsorship deal with FTX after the cryptocurrency exchange — along with over 130 affiliated companies — filed for bankruptcy.

Mercedes joined the Miami Heat and esports organization TSM as sports-related entities who temporarily or permanently severed ties with the controversial crypto exchange.

Sportradar continues to grow as sports embrace more technology and data. 

The sports data aggregator generated $175.2 million in revenue in Q3 2022, a 31% increase year-over-year. Net income reached $15 million during the quarter, compared to $6.2 million for the same period last year.

• U.S. revenue reached $32.6 million in Q3 2022, a 61% increase year-over-year.
• Its Rest of World betting segment posted $104 million in revenue, up 28% compared to Q3 2021.

Sportradar went public in September 2021 after raising more than $670 million in its initial public offering, which valued the company at $7.98 billion. 

It previously planned to go public via a merger with Horizon Acquisition Corp. — a blank-check company backed by Los Angeles Dodgers and Chelsea FC co-owner Todd Boehly. 

The merger dissolved after the SEC issued guidance that some investments made by blank-check companies should be classified as an asset or liability, not equity. 

Growth Through Diversity

Sportradar has spurred growth through a diverse portfolio of clients. 

“Sportradar follows a clear value proposition, so we know where we have to deliver results,” CEO Carsten Koerl told Front Office Sports.

In October, Sportradar secured a deal with Flutter Entertainment’s FanDuel to supply its sportsbook platform with official NBA data and supplementary betting services through the 2030-31 season. It also extended its original data agreement with FanDuel from 2021.

Earlier this month, Sportradar landed a multiyear deal with Baseball Australia to broadcast Australian Baseball League games on new livestreaming service OnDemand.