News Corp has finalized a deal to sell its Australian cable-TV unit, Foxtel, to London-based sports streaming platform DAZN for A$3.4 billion ($2.1 billion), including debt. The move reduces the Murdoch-controlled media conglomerate's exposure to traditional cable TV, a business struggling to compete with global streaming platforms.
As part of the agreement, News Corp will acquire a 6% stake in DAZN and a seat on its board, while DAZN secures Foxtel’s broadcasting rights for the Australian Football League (AFL) and the National Rugby League (NRL).
The valuation of Foxtel, at seven times its projected 2024 EBITDA, was hailed by analysts as favorable. Morgan Stanley described the price as "higher-than-expected" for one of News Corp's weaker assets. Morningstar analyst Brian Han noted that the deal offers tangible results from the company's prolonged corporate structure review, alleviating investor concerns.
DAZN, backed by billionaire Len Blavatnik's Access Industries, continues its expansion as a global sports streaming leader, broadcasting in markets across North America, Europe, and Asia. It delivers a variety of sports, including football, boxing, and baseball, and holds partnerships with European football leagues such as Serie A, LaLiga, Bundesliga, and Ligue 1.
The sale reflects Rupert Murdoch’s strategic efforts to streamline his media empire amidst evolving consumer preferences in the digital age.
Bd-pratidin English/ Jisan
