UPDATED: Telecommunications company Singtel Optus has declined to comment on a report it will sell the rights to broadcast the English Premier League (EPL) football competition to Nine Entertainment for its Stan streaming service.
Nine will pay Optus $60 million a year for the next three years, according to subsequent media reports .
An Optus spokesperson said it did not comment on speculation following a story in The Australian newspaper on Monday that Nine was expected to announce this week it had secured the Australian broadcast rights to the EPL.
“All companies regularly review their businesses to ensure they are maximising value and realising their full potential – Optus is no different,” the spokesperson told Azzet.
Azzet also approached Nine but had received no response by the time of publication to the request to comment on the report, including that it will spend just over $300 million to wrest the EPL rights from Optus for three years from the 2025-26 season.
The Australian Financial Review (AFR) newspaper reported in January that Optus last year approached potential buyers, including Nine, for expressions of interest in the Optus Sport platform that owns the EPL rights.
Optus Sport was launched in 2016 after Optus won the rights to broadcast the EPL from subscription television service from Foxtel, in a three year deal that has subsequently been extended to 2028 and is estimated to be worth $100 million per year.
Optus will pay $40 million a year under the terms of the transaction with Nine for rights it no longer holds, according to reports in the AFR, Mediaweek and B&T, effectively subsidising a deal which presumably stems its losses.
Stan began investing in sports after securing a $100 million deal with Rugby Australia in in 2020 to broadcast Super Rugby, Wallabies and Wallaroos matches.
Foxtel was sold by global media group News Corporation and Australian telecom Telstra to global sports streaming giant DAZN for an enterprise value of A$3.4 billion in April.
At the time of publication Nine shares were trading 0.5 cents (0.31%) higher at $1.60, capitalising the company at A$2.53 billion (US$1.64 billion).
Optus is owned by Singapore Telecommunications (SGX: Z7), whose shares were trading at SGD$3.79, up one cent (0.26%) on the day, and implying a market valuation of SGD$62.59 billion (US$48.8 billion).
