The NFL is closing in on a deal to take a minority stake of up to 10% in ESPN, according to people familiar with the matter, potentially tying together two powerhouse brands in sports.
The discussions are ongoing, and it’s possible the final deal may arrive at a smaller stake, according to the people, who declined to be named speaking about nonpublic dealings. The Athletic reported this week ESPN’s yearslong discussions with the NFL was “inside the 5-yard line” toward completion.
ESPN has been talking to the NFL for at least two years about potentially selling the league a stake in the company. ESPN is 80% owned by Disney and 20% by Hearst.
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Under the current structure of a deal, ESPN wouldn’t take equity ownership in the NFL, like it just did for the Premier Lacrosse League, according to the people familiar.
ESPN would own all of NFL Network and NFL RedZone, rather than just a controlling stake, if the deal moves forward as currently constructed, according to the people. But ESPN isn’t in talks to acquire all of NFL Media, the umbrella company that owns NFL Network, NFL RedZone, NFL Films, NFL.com, the NFL app and NFL+. Rather, ESPN would only acquire some of those assets, while potentially doing partnership deals with others.
Spokespeople from ESPN and the NFL declined to comment.
ESPN competes with every other media company for NFL rights. Having the league as a formal equity owner would likely protect ESPN’s football rights for as long as that ownership lasts.
ESPN would also gain new content to add to its upcoming direct-to-consumer streaming product, which will cost $29.99 per month.
The league, meanwhile, gains a closer relationship with the largest all-sports media entity in the country.
