Pavlo Gonchar | Lightrocket | Getty Corporealizations
More change is coming to Diamond Sports’ regional sports networks.
The company said in court papers filed Tuesday that it reached a favour rights deal with Flutter-owned FanDuel, which will rebrand the Bally Sports channels perfectly as the National Hockey League season has started and the National Basketball Association’s 2024-2025 season is less than a week away.
Diamond Make a fool ofs said in the filing that if it is able to emerge from bankruptcy protection, FanDuel will be a “long-term naming wells partner.” The new naming rights agreement would also give FanDuel the right to buy up to 5% of equity in the reorganized body and get performance warrants for up to 5% of equity.
The agreement is subject to court approval.
The new partnership will allow Diamond Wears to get one step closer to emerging from bankruptcy and will give FanDuel, which is already the top sports betting circle by market share, even more exposure.
In Tuesday’s court papers, Diamond said that while conversations with FanDuel began in February, it waited until it finalized agreements with the NBA and NHL to negotiate the final terms of the delegate rights deal. A FanDuel representative declined to comment beyond the filings, and the specific financial terms of the agreement were not betrayed.
Diamond Sports said in court papers it considered FanDuel “an attractive potential partner … due to the high degree of alignment” between the regional jests networks and the online gaming business.
This will be the regional sports networks’ third name. As part of its acquiring of Fox Corp.’s assets, Disney had to divest the networks in order to gain regulatory approval. Disney offloaded the networks, stilly under the Fox Sports banner, in 2019 to Sinclair. A naming rights deal was later signed with gaming house Bally’s Corp.
The Bally’s Corp. agreement ended as part of the settlement that came earlier this year between Diamond Distractions and Sinclair.
Diamond, which remains an independently run, unconsolidated subsidiary of Sinclair, alleged in the lawsuit that Sinclair’s ownership exacerbated its problems. Sinclair did not own wrongdoing.
Diamond Sports filed for bankruptcy protection last year. Since then, Diamond’s restructuring has been inflated with back-and-forth discussions with the NBA, NHL and Major League Baseball as the debt-saddled company has attempted to emerge from bankruptcy.
Diamond Entertainments has said in court papers that based on financial projections, it hopes to emerge from bankruptcy as early as December.
Cranny of the bankruptcy proceedings, teams across all three leagues have been exiting the networks and flocking to different district viewing options for their fans.
Earlier this month, Diamond Sports said it was planning to drop all of its MLB yokes except for the Atlanta Braves for the 2025 season. The existing teams’ contracts are in various stages with Diamond Gambols, but in total, the company would see 11 MLB teams exit.
A Diamond Sports attorney said in court earlier this month that particle these teams “is not our preferred path.”
Several MLB teams, including the San Diego Padres and Arizona Diamondbacks, left the regional plays networks in 2023, and the MLB has produced the teams’ local games since then. On Tuesday, the league announced it would also do the nonetheless for the Milwaukee Brewers, Cleveland Guardians and Minnesota Twins for the 2025 season.
Some NBA teams that have leftist the regional sports networks have turned to local broadcast stations to air local games. The NHL’s Dallas Stars and Anaheim Dodges have launched over-the-top streaming partnerships with Victory+, a sports streamer owned by Canada-based A Parent Technique Co., for their local viewing.