SYDNEY: Nine Entertainment Co. (ASX: NEC) announced Monday that its subsidiary, Stan, has agreed to acquire selected assets of Optus Sport, including media rights for the Premier League and Emirates FA Cup, in a deal set to enhance its sports streaming portfolio.
The acquisition, effective Aug. 1, includes Optus Sport’s media rights agreements, subscriber contracts and social media assets. Stan will pay Optus an upfront fee of $20 million and contribute to the next Premier League rights cycle. Optus will also make periodic payments to Nine through 2028.
Nine expects the deal to be marginally EBITDA and cash positive for Stan over the remaining term of the media rights agreements, estimated in the low single-digit millions. The acquired rights cover the Premier League and Emirates FA Cup through the 2027-2028 seasons.
Stan’s due diligence revealed that more than half of Optus Sport’s subscribers are not current Stan users. Existing Optus Sport subscribers will retain access to football content via Stan Sport, with eligibility-based offers. Optus telecom customers who don’t subscribe to Stan will generally retain access at their current rates for the new season.
The addition of Premier League and FA Cup rights complements Stan Sport’s existing UEFA club competitions, Rugby, Tennis, Motorsport and Combat Sports offerings, targeting Australia’s 6 million football fans.