American investment firm Oaktree capital have reportedly made a €1 billion bid to the Lega Serie A to begin their own TV channel. The news follows reports from La Repubblica that the league is giving serious consideration to starting its own broadcast channel, if they fail to agree another deal with Sky Sport and DAZN. The newspaper writes:
“The channel is a real temptation. Because it would revolutionise the very concept of football viewing. Dazn has demonstrated that Serie A has an essentially unbreakable audience: despite the price increase, TV has not lost subscribers. It means – this is the reasoning that is beginning to circulate – that the same people, if they were to subscribe to a League channel from tomorrow, would do so without batting an eyelid. A bluff? That is not the impression. The League has already developed an advanced project with the advisor Lazard, which would allow it to make a profit in three years (financing itself in the period by opening a credit line with funds or merchant banks: offers have already been received). A project that would allow season tickets tailored to the fan: exclusive subscriptions to one’s own team or to the postponement. And a ‘rechargeable’ formula: you spend according to how many matches you watch and if you reach the monthly season ticket price, you pay no more.”
Bloomberg and Il Sole 24 Ore now report that no broadcaster has met the leagues asking price of €1 billion for the broadcast rights, but Oaktree capital are prepared to invest that figure, effectively taking over the TV rights for Serie A for the seasons to come. Bloomberg write that: “Oaktree sent a letter to Serie A officials this week, offering a so-called guaranteed minimum investment of about €1 billion as part of a multiyear deal.”
Lega Serie A will have a final meeting with DAZN, Sky and Mediaset today, but reports suggest their highest offer is expected to be around the €880 million, still a way short of what the league is asking for.
