Discovery takes over Eurosport

Discovery Communications has acquired full ownership of Eurosport after agreeing a deal worth €491m (US$534m) with TF1 Group.

David Zaslav

Discovery took a 51% stake in the sports network in 2014 and has now exercised an option to buy the remaining 49% as part of the companies’ 2012 agreement.

That deal saw the US-based factual giant pay €170m for a 20% stake in Eurosport and several other TF1 stations including TV Breizh, Histoire, Ushuaïa TV and Stylia. The arrangement included an option for TF1 to sell the remaining 49% of Eurosport it held, which has now been triggered.

“Discovery Communications is excited to expand and deepen our investment in Eurosport as we continue to strengthen our newest global brand with locally relevant sports rights that create value for fans, advertisers and distributors,” said David Zaslav, president and CEO of Discovery Communications.

“In 2012, we began our investment with a 20% stake in Eurosport and increased that investment to 51% more than a year ago. Taking full control of Eurosport is the culmination of our commitment to strengthening Eurosport as a premier sports brand and fully integrating this business within Discovery’s unmatched global portfolio.”

Nonce Paolini

Nonce Paolini, chairman and CEO of TF1, added: “After an initial phase of creating value via acquisitions of equity stakes, which accelerated the development of Eurosport and the theme channels, we intend to continue our collaboration in the years ahead.”

The agreement includes a provision for TF1 to buy back Discovery’s 20% interest in TV Breizh, Histoire and Ushuaïa TV for €15m. Both transactions are expected to close at the beginning of the fourth quarter.

Since May 2014, Discovery and Eurosport have acquired more than 7,500 hours of sports coverage including UEFA Champions League football, Major League Soccer, Spanish cycling and, more recently, the TV and multiplatform rights for the Olympic Games from 2018 to 2024.