DAZN to Acquire Foxtel

DAZN has clinched a deal to acquire Australia’s Foxtel Group from News Corp and Telstra for $2.2 billion.

The platform has some 4.7 million customers. It will continue to be led by CEO Patrick Delany after the transaction, which is pending regulatory approval. News Corp and Telstra will become minority shareholders in DAZN.

Shay Segev, CEO of DAZN, noted: “Australians watch more sport than any other country in the world, which makes this deal an incredibly exciting opportunity for DAZN to enter a key market, marking another step in our long-term strategy to become the global home of 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 long-term success. 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, and we will continue to promote women’s and under-represented sports.”

Segev added: “We’re looking forward to working closely with Patrick Delany and his team, as well as News Corp and Telstra as shareholders in DAZN, to realize our ambitious vision for the future of sport entertainment.”

Delany said the deal was a “natural evolution for the Foxtel Group, having reinvented the company over the past five years as Australia’s most dynamic technology-led streaming company. Kayo and Foxtel provide Australian sports fans with access to the best Australian and international sport and shows, including AFL, NRL and cricket, with 4.7 million subscribers. We are excited by DAZN’s commitment to the Australian market. They are experts in the sports media business and can play a significant role in supporting Foxtel as the business grows its streaming capabilities, bringing a bigger and better service to customers across entertainment, news and sport. They are a perfect match for us as we look toward this next era of growth. We have been grateful for the support of News Corp while we reimagined the future of Foxtel. In 2019, when we merged Foxtel and Fox Sports we had many people questioning our future. After launching Kayo later in 2019 and BINGE in 2020, today we are the largest Australian-based streamer of sport and entertainment; we have stabilized our Foxtel base and launched Hubbl to help consumers find all the streamed content they love all in one place. This wouldn’t have been possible without the support and encouragement of News Corp.”