Saudi Arabia Nears Investment in Sports Network DAZN
Saudi Arabia is reportedly close to investing over $1 billion in DAZN, a sports network backed by billionaire Len Blavatnik, as part of its strategy to expand its influence in global sports.
The potential deal would see Saudi Arabia’s sovereign wealth fund acquire up to a 10% stake in DAZN, a platform known for streaming sports events worldwide. This move aligns with the kingdom’s broader efforts to diversify its economy and enhance its international presence in sports.
DAZN has been a significant partner in Saudi Arabia’s sports ventures, including soccer, tennis, and boxing. The investment could provide DAZN with much-needed financial support, as the company has faced substantial losses in its pursuit of sports rights.
As part of the agreement, DAZN may offer free broadcasts of Saudi sports events, similar to its recent announcement of airing FIFA’s Club World Cup at no cost. This strategy aims to boost visibility for Saudi Arabia’s sports assets.
Saudi Arabia’s approach to investing in sports is distinct, focusing more on enhancing its global brand rather than immediate financial returns. This contrasts with traditional investors who prioritize profitability.
In addition to DAZN, Saudi Arabia has shown interest in acquiring a stake in Qatar’s BeIN Media Group, amidst ongoing legal disputes over piracy allegations. The kingdom’s involvement in sports continues to grow, evidenced by its recent agreement to host the FIFA World Cup in 2034.
DAZN, owned by Len Blavatnik, has been actively acquiring sports rights despite financial challenges. The company’s recent acquisitions include buying Foxtel in Australia for $2.1 billion.