The Saudi Public Investment Fund (PIF) is reportedly looking to further enhance its influence in the world of sport with a stake acquisition in DAZN.
Reuters confirmed that PIF is amongst several potential investors interested in a share of DAZN, with the Saudi organisation focusing on a 10% stake believed to be valued at $1bn.
Anonymous sources close to the situation revealed to Reuters that PIF and DAZN have been in talks regarding a potential share sale but warned that there is no certainty it will be completed.
But if the stake acquisition was to be finalised, it would represent another milestone in the PIF and Saudi Arabia’s push to become a global leader in world sport.
The PIF has made several strategic investments and acquisitions over the past several years. More notably, it became a part of a consortium to acquire Newcastle United, along with several Saudi Pro League teams such as Cristiano Ronaldo’s Al-Nassr.
It’s not just football PIF has invested in. The organisation has invested in tennis with the ATP and WTA tours, the backing of the PGA Tour competitor LIV Golf, and many more.
DAZN, a broadcaster of the Saudi Pro League and several other major European football leagues like La Liga, Ligue 1 and Bundesliga, has surged as one of the leading sports streaming platforms in the world.
The company did, however, report operating losses of over $1bn as a result of the sports broadcast rights significantly increasing and the overall streaming landscape becoming a lot more competitive.
This then brought about discussions within DAZN with advisers regarding potential private investment to help secure extra funding and boost its ability to compete for broadcast rights.
Alongside PIF, DAZN has reportedly held conversations with three other investment firms over the past several months and is reportedly eyeing a $10bn to $12bn total valuation following consideration of any investment opportunities.