From Our Angle: 10-13-23

We believe a series of global macro tailwinds will help drive value creation across the TMT sector. Additionally, the sports industry offers its own secular trends that will further support significant value creation across the asset class. Below is a roundup of industry news highlighting some of these themes and related transactions.

NHL’s Predators Use AI-Generated Leads To Power Ticket, Sponsor Sales (Building Businesses Around Disruptive Technology)

• The Nashville Predators, an NHL team, have implemented AI-driven ticket sales strategies to improve their revenue generation.
• The team has partnered with SSB, an AI technology company, to use data analytics and machine learning to optimize ticket pricing and marketing strategies.
• By leveraging AI, the Predators aim to enhance fan engagement and maximize ticket sales, ultimately boosting their overall business performance.

YouTube makes aggregation play with launch of Primetime Channels in UK (Unbundling and Rebundling of the Media Ecosystem)

• YouTube is launching "Primetime Channels" in the UK, offering sports fans exclusive content and live broadcasts, with a focus on partnerships with DAZN and other sports organizations.
• DAZN, a global sports streaming platform, will collaborate with YouTube to provide content for these Primetime Channels, expanding its reach to a broader audience.
• This strategic partnership aims to capitalize on the growing demand for online sports content and enhance the accessibility of sports-related content to viewers in the UK.

KnightTime Descends On Vegas, Signaling New Sports Media Era (Changing Video Consumption Habits)

• The Vegas Golden Knights are launching "KnightTime," a new streaming channel in partnership with Scripps, focusing on behind-the-scenes content and unique fan experiences.
• The KnightTime channel will be available to subscribers for a monthly fee, offering exclusive access to the NHL team's content, including player interviews, community engagement, and more.
• This initiative represents a strategic move by the Vegas Golden Knights to further engage their fan base and generate additional revenue through subscription-based content, while leveraging their strong brand presence.

Cricket World Cup Commands Global Viewership (Must Watch TV)

• The 13th edition of the men's Cricket World Cup is currently taking place in India, featuring 10 countries vying for global supremacy.
• The tournament utilizes a format called One Day International (ODI), with a round-robin group stage consisting of 45 matches, followed by the top four teams advancing to the semifinals.
• Cricket is immensely popular worldwide, with 2.5 billion fans, making it the second most popular sport globally after soccer, and the 2019 World Cup saw 706 million viewers, with the India vs. Pakistan match being the most-watched game. England is among the previous winners of the ICC Men's Cricket World Cup, alongside Australia, India, the West Indies, Pakistan, and Sri Lanka.

Cricket World Cup: India v Australia peaks at 26m live viewers on Disney+ Hotstar (Must Watch TV)

• The ICC World Cup cricket match between India and Australia became a massive streaming success on Disney+ Hotstar, with record-breaking viewership figures.
• The match attracted a record audience to the Disney+ Hotstar platform, highlighting the immense popularity of cricket in India and the power of digital streaming for live sports events.
• This success underscores the growing trend of sports fans turning to online streaming platforms for live events, emphasizing the importance of digital distribution in sports broadcasting.

Women’s Soccer Business Trajectory Promises More Rapid Growth (Rise of Women Sports)

• Women's soccer is experiencing rapid growth in popularity and business, with increasing investment, sponsorship deals, and media coverage, contributing to its global expansion.
• The article highlights the success stories of women's soccer leagues and teams, such as the NWSL and the Women's Super League, which have seen significant increases in viewership and fan engagement.
• This growth signifies a promising future for women's soccer, with opportunities for further development, improved player compensation, and increased visibility on both domestic and international stages.

NWSL Reportedly Secures New Media Rights Deals As Popularity Soars (Rise of Women Sports)

• The National Women's Soccer League (NWSL) has reportedly secured new media rights deals, signifying the growing popularity of women's soccer in the United States.
• The article suggests that these media rights agreements could potentially bring increased broadcasting exposure and revenue opportunities to the NWSL, which has been gaining momentum and attracting larger audiences in recent years.
• These developments reflect the continued growth and investment in women's sports leagues, particularly women's soccer, as they seek to capitalize on the increasing demand for women's sports content and expand their fan base.

LaLiga Tech rebrands as Sportian to accelerate sports tech mission (Transformational Growth Levers)

• La Liga, the Spanish football league, has partnered with tech companies Globant and Sportian to undergo a rebranding effort.
• The collaboration aims to enhance La Liga's digital presence, improve fan engagement, and modernize its technological infrastructure.
• This strategic partnership reflects La Liga's commitment to staying at the forefront of technology and innovation to better serve its global fanbase.

Ishbia looking for new investors for Suns, Mercury

• Mat Ishbia, the founder, and CEO of United Wholesale Mortgage, has become an investor in the Phoenix Suns and Phoenix Mercury, as reported by Sports Business Journal.
• Ishbia's investment signifies growing interest from outside the traditional sports industry, highlighting the appeal of NBA and WNBA teams as attractive investments.
• The article does not provide specific financial details or the extent of Mat Ishbia's involvement, so for a deeper understanding of this investment, one should refer to the linked source.

Vegas lands seventh Pro Volleyball Federation team

• The Las Vegas Pro Volleyball Federation is introducing a new franchise to its league, as reported by Sports Business Journal.
• This expansion demonstrates the growing popularity and development of professional volleyball in Las Vegas.
• The specific details about the new franchise, such as its name, ownership, and key players, are not included in the summary, so further information can be found by referring to the linked source.

Shaq expresses interest in owning potential Las Vegas NBA expansion team

• Former NBA star Shaquille O'Neal is expressing interest in owning an NBA franchise in Las Vegas.
• This move is part of a broader trend of athletes and celebrities investing in sports ownership, aligning with the growing popularity of Las Vegas as a sports destination.
• Shaq's involvement could potentially bring a new team to Las Vegas, expanding the city's sports landscape and enhancing its reputation in the sports industry.

Chicago, NASCAR still in talks on deal for second downtown Street Race

• NASCAR has reached an agreement with the city of Chicago for a multi-year race event.
• This deal signifies NASCAR's commitment to expanding its presence and fan base in urban areas, as it traditionally held races in more rural locations.
• Hosting races in a major city like Chicago could potentially boost attendance and viewership, further promoting the sport.

NHL Open To Expansion, Says New Entry Fee Would Be ‘A Lot’

• The NHL is open to expansion and considering adding new teams to the league.
• It is suggested that the new entry fee for potential expansion teams could be significantly higher than previous fees.
• This move reflects the league's interest in capitalizing on the growing popularity of ice hockey and securing long-term financial benefits through expansion.

Crystal Palace, Lyon Backer Seeking $200M in Funding

• A backer of Crystal Palace and Lyon, two football clubs, is actively seeking $200 million in funding according to a Front Office Sports article.
• The funding is likely aimed at bolstering the financial stability and competitive edge of these football clubs through player acquisitions, infrastructure development, and other strategic initiatives.
• The source of the funding and specific details about its allocation are not provided in the summary, so interested parties may need to refer to the linked article for further information.

Juventus seeks €200m injection after posting €123m annual loss

• Juventus, the Italian football club, is seeking a €200 million capital injection after reporting a €123 million annual loss.
• The financial challenge indicates the impact of the COVID-19 pandemic on the club's revenues and operations.
• The capital injection is aimed at stabilizing the club's finances and ensuring its continued competitiveness in the football industry.

Bundesliga Renews Pursuit Of Pe Money To Bolster Global?Standing

• The Bundesliga, Germany's top football league, is exploring the sale of a significant equity stake to private equity investors, potentially involving billions of dollars.
• This move aims to secure long-term financial stability and enhance the league's global appeal through increased investment in infrastructure and marketing.
• Axel Hellmann, the Deputy Chairman of Eintracht Frankfurt, is leading the negotiations with private equity firms, signaling a potential transformation in how German football is funded and managed.

Disney said to be in talks with Adani, Maran to sell India assets

• Disney is reportedly in discussions with Adani and Sun TV to potentially sell its India assets, as per reports in The Economic Times.
• This move suggests Disney's interest in potentially divesting its holdings in the Indian media and entertainment industry.
• The article doesn't provide specific details about the potential deal or reasons behind it, so further information can be found by referring to the linked source.

Wallabies and Springboks approached by Middle Eastern investors

• Rugby Australia and South Africa's Springboks have entered a unique Middle East investment deal, according to a report by SportsPro Media.
• The agreement involves investments from Middle Eastern nations, particularly Qatar and Saudi Arabia, which aim to bolster rugby's presence in the region and support both teams' initiatives.
• The specific terms and financial details of the investment are not covered in the summary, so more information can be found in the linked article.

Foley secures bid for Auckland A-League franchise

• Bill Foley, the owner of the Vegas Golden Knights NHL team, is reportedly exploring the possibility of owning a franchise in the Australian A-League, specifically in Auckland, New Zealand, according to Sports Business Journal.
• This indicates an expansion of interest by international investors in the Australian A-League, with a potential new team in New Zealand being considered.
• The article does not provide specific details about the status of this venture or any financial terms, so for more information, readers are advised to consult the linked source.

Formula 1 Could Add More Teams, Trim Number of Races

• Formula 1 is considering the possibility of adding more teams to the racing series.
• To accommodate potential expansion, the number of races in a season could be reduced.
• This reflects Formula 1's ongoing efforts to balance competition and commercial interests while ensuring the sport's growth and sustainability.

NFL players union invests in sports tech firm Infinite Athlete

• Infinite Athlete, a sports tech company, is making waves in the NFL with its innovative technology solutions, as reported by SportsPro Media.
• The company's technology is designed to enhance athlete performance and safety by providing real-time data and insights during training and games.
• The article does not delve into specific details, so for a comprehensive understanding of Infinite Athlete's technology and its impact on the NFL, further information can be obtained by reading the linked source.

Hexagon Cup receives ￡1m investment from UK media group

• The Hexagon Cup, a sports and entertainment event, has secured a significant ￡1 million investment from a UK media group.
• This investment indicates a growing interest in the event, which may lead to enhanced production, promotion, and overall development of the Hexagon Cup.
• The specific details of the investment and how it will be used to support the Hexagon Cup are not provided in the summary, so further insights can be found in the linked source.

Southwind Media ‘explores sale’ of MediaPro majority stake

• Southwind Media is considering the sale of its majority stake in MediaPro, a prominent sports media company.
• This move may lead to changes in MediaPro's ownership structure and potentially impact its sports broadcasting operations.
• The decision to explore the sale comes as part of Southwind Media's strategic considerations for its investment portfolio.