21st Sep 2021 19:23
(Alliance News) - BT Group PLC is in the advanced stage of talks to sell its sports broadcasting arm to DAZN, the Financial Times reported on Tuesday.
The FT, citing multiple people with direct knowledge of the talks, said a deal could be struck within weeks. DAZN is majority-owned by investment firm Access Industries Inc, which also holds a stake in Warner Music Group.
The newspaper said an agreement for DAZN to buy BT Sport is not certain, however, with a number of factors, include sale price, a sticking point in talks. The sale price could be in the region of hundreds of millions of pounds.
Because of a cross-licensing deal, Sky would need to green light DAZN's potential purchase of BT Sport, the FT added.
https://www.ft.com/content/8c0ffe51-3fee-4cd6-88ab-54401e62dada
In April, BT confirmed it was in discussions to potentially sell a stake in BT sport.
The telecommunications firm said it is in discussions with "a number of select strategic partners" in regards to BT Sport. BT is exploring ways to "generate investment, strengthen our sports business, and help take it to the next stage in its growth".
It came after the Telegraph reported BT was in talks to sell a holding in its sports broadcasting arm, with Amazon.com Inc and Walt Disney Co among those in the running to buy a stake.
A sale of BT Sport will allow the FTSE 100-listed parent to focus on growing its fibre and 5G offerings.
BT Sport launched in 2013 and emerged as a serious rival to Sky Sports. BT Sport snapped up the lucrative television rights to the two premier European football competitions, the UEFA Champions League and UEFA Europa League.
BT Sport also airs a selection of English Premier League matches, as does Amazon through its Prime service, though Sky still holds the rights to most matches in England's top domestic league football competition.
BT shares closed 2.7% higher at 159.50 pence each in London on Tuesday.
By Eric Cunha; [email protected]
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