LONDON/MILAN, May 21 (Reuters) - Sports streaming platform DAZN, backed by British-American billionaire Len Blavatnik, is exploring a possible tie-up with pay-TV operator DirecTV Latin America, three people close to the matter said.
The London-based group has in recent months held talks with the pay-TV operator about several options, including a potential acquisition, the people said, speaking on condition of anonymity because the matter is private.
Other options under consideration are DAZN buying DirecTV Latin America's digital assets, one of the people said. However, discussions, which have been ongoing since last year, are currently only focused on a commercial partnership in the region, the person added.
Any acquisition of DirecTV Latin America is unlikely to happen until after this year's FIFA World Cup, when the business is easier to value, a second person said.
Adeal would mark a significant push by DAZN into Latin America as it accelerates its global growth efforts. The company acquired Australia’s pay-TV operator Foxtel in 2024 in a $2.1 billion deal.
DirecTV Latin America, controlled by Argentina-based investment group Grupo Werthein since its purchase from AT&T in 2021, operates across South America and the Caribbean and reaches about 40 million viewers.
It holds rights to broadcast this year's FIFA World Cup in countries including Argentina, Chile, Colombia and Uruguay, according to FIFA and Grupo Werthein's websites.
DAZN declined to comment. DirecTV Latin America and Grupo Werthein said they had no information on the matter.
Reuters could not establish a valuation for the privately held company.
SUBSCRIPTIONS AND BROADCASTING RIGHTS
DAZN, which sub-licensed the rights to broadcast all matches of FIFA’s inaugural Club World Cup in 2025 to DirecTV Latin America, will stream national team World Cup matches in Japan, Italy and Spain.
The group streams a range of sports including boxing, American football and baseball, and has partnerships with European soccer leagues such as Serie A in Italy, Spain's LaLiga, Germany's Bundesliga and France's Ligue 1.
Its business model relies on securing broadcasting rights for live sports and selling subscriptions, requiring continued investment.
The strategy has proved costly, with Blavatnik repeatedly injecting funds into the company, according to public corporate filings. DAZN’s latest available earnings showed losses of $936 million in 2024, down from $1.4 billion a year earlier.
(Reporting by Elvira Pollina in Milan and Amy-Jo Crowley in London; Additional reporting by Kylie Madry in Mexico City; Editing by Anousha Sakoui and Emelia Sithole-Matarise)
