After spending billions, DAZN wants to raise $1 billion more

DAZN is apparently looking to raise significant new funds heading into 2024. According to Bloomberg, the London-based sports streaming platform has held several discussions with potential investors in recent months. Sources at the company claim that DAZN is even exploring the possibility of raising around $1 billion. The move would help the company expand their current reach of streaming sports competitions.

The streaming service is set to release their official 2023 financial results in the coming weeks. It is widely expected that the findings will show that the company’s losses have diminished. This comes after DAZN has invested billions of dollars in obtaining exclusive streaming rights to sports competitions around the world.

DAZN currently has a plethora of soccer coverage in different areas of the globe. In fact, the streaming service currently has rights to stream the UEFA Champions League, Germany’s Bundesliga, and the English Football League in Canada. However, they also have partnerships in place with many other leagues across Europe.

DAZN exec previously hinted at attracting investment partnerships after spending spree

Shay Segev, DAZN’s chief executive officer, previously told Bloomberg that they would be open to financial partnerships in the near future. Segev even stated that he expects the company to seek a public offering as well. The executive referenced the rise of both Netflix and Amazon in the previous interview.

“I really don’t have any preference, I would just think that it actually makes sense for this to become a public company,” Segev said in January. “The Netflix story, the Amazon story — I think DAZN is going there as well.”

Billionaire Len Blavatnik currently funds DAZN. The Ukrainian-born British-American businessman has a net worth of around $30 billion. He is the 31st richest person in the world per the Bloomberg Billionaires Index. While Blavatnik clearly has plenty of money to fund DAZN, extra outside investment would help the company be more competitive in the streaming wars.

Streaming service currently has strong relationship with Saudi Arabia

The decision to look for further investment in DAZN comes as the Premier League streaming rights came to a close. DAZN was certainly interested in obtaining the exclusive domestic rights to the most popular soccer league. Nevertheless, Sky Sports and TNT Sports ultimately won the rights to broadcast the league in the United Kingdom for over $8 billion.

Although they failed with the Premier League bid, DAZN currently has a strong relationship with Saudi Arabia. The streaming service is a crucial broadcaster of the Saudi Pro League. DAZN previously obtained exclusive rights to stream the league in six different areas across the world. This includes the United Kingdom, Canada, and Germany.

Interest in the Saudi top flight has boomed in recent months after a plethora of soccer stars joined the league’s teams. Cristiano Ronaldo essentially started the influx of players moving to the Middle Eastern nation. However, fellow stars such as Karim Benzema, Sadio Mane, Riyad Mahrez, and N’Golo Kante all joined the Portuguese legend in the summer.

In November, DAZN won rights to air select content from Saudi’s “Riyadh Season” as well. The event is an annual entertainment and sports festival in Saudi Arabia. One of the competitions DAZN will get to stream exclusively is a boxing match involving former heavyweight champion Anthony Joshua.

Photo credits: IMAGO / imagebroker : IMAGO / PRiME Media Images.