9 replies to this topic

[ifmanis5]

http://www.fangraphs...he-yes-network/

News Corporation is reportedly set to buy a 49 percent stake in the YES Network and it may be a hedge against losing its local TV contract with the Dodgers.

The YES Network broadcasts Yankee games and a full slate of Yankees-related programming. It is also the broadcast home of the Brooklyn Nets of the NBA. YES is considered the most successful and profitable regional sports network in the country.

Over the weekend, the New York Times reported that News Corp. is close to acquiring a 49 percent share of YES, which has been valued for purposes of the transaction at $3 billion. A 49 percent share, then, will cost News Corp. $1.47 billion. Until now, shares in YES were divided among the Yankees (34 percent), investment banks Goldman Sachs and Provident Equity (40 percent) and a group of former Nets owners (26 percent). The deal includes an option for News Corp. to increase its stake to 80 percent within five years.

Commence with the Evil Empire jokes...

[E5 Yaz]

Doesn't hurt Jeter; never could go to his left.

Lather. Rinse. Repeat.

[SemperFidelisSox]

Selling 49% of YES (with Murdoch having the option of increasing the share to 80 within the next five years), reducing payroll to get under the luxury tax threshold. Are we still supposed to believe the Steinbrenners aren't selling the team?

[jon abbey]

But can he buy the whole team in time to kill the $189M mandate that seems to be crippling the front office currently?

http://espn.go.com/n...urdoch-takeover

[jon abbey]

Also worth noting that the Yankees don't own the other 51 percent, Murdoch would essentially control YES with this purchase, with the right to buy up to 80 percent overall within 5 years (lower down in that article).

[JimBoSox9]

YES is a valuable asset. It seems like an odd choice to divest if they're gearing up to sell, no?

[jon abbey]

Unless they're planning to sell to Murdoch, anyway.

[ifmanis5]

It's official:

http://www.mediabistro.com/tvNews Conference/news-corp-acquires-stake-in-yes-network-but-how-does-it-affect-fox-sports-1_b155903

Fox Sports has even gone so far as to design a logo for the channel, which it filed with the US Patent and Trademark Office in early October. You can see the logo in the graphic above.Update: Fox Sports has also registered FoxSports1.com and has secured the Twitter handle @FoxSports1.

Edit: Can't fix link. SoSH hates it. Maybe that's a sign.

Edited by ifmanis5, 20 November 2012 - 05:15 PM.

[ThePrideofShiner]

The above link didn't work. Here is another one: http://www.newsday.c...twork-1.4246229

Ganis, who advised the Yankees previously, said the agreement makes it highly unlikely that the family of George Steinbrenner, who died in July 2010, would sell the team. Getting rid of the Yankees would cut off the rich revenue stream.

.....

Acquiring YES strengthens News Corp.'s regional sports business by adding a channel with the Yankees, a marquee MLB team, and the National Basketball Association's Brooklyn Nets. The company plans a national sports channel next year to compete with Walt Disney Co.'s ESPN and NBC Universal's NBC Sports, and is seeking to extend rights to Los Angeles Dodgers pay-TV baseball telecasts.

[ifmanis5]

This deal ups ESPN's value, say researchers.

In a note to investors, Bernstein Research's Todd Juenger says News Corp's. investment in the Yankees network has implications for Disney's massive sports asset.

After News Corp. bought 49 percent of YES at a valuation of $3 billion with an option to acquire 80 percent of the company at a valuation of $3.8 billion, Disney’s ESPN asset is worth up to an impressive $66.5 billion, an analyst said Tuesday.

http://www.hollywood...-espn-at-393409