News Corporation has finalised the sale of Foxtel Group to global sports streaming platform DAZN, marking the end of a decades-long chapter for one of Australia’s most influential pay TV providers.
The transaction, officially completed this week, comes after regulatory approvals from the Foreign Investment Review Board, the Australian Competition and Consumer Commission (ACCC), and other key authorities.
As part of the deal, News Corp received repayment of A$592 million in shareholder loans and has secured a minority equity stake of approximately 6% in DAZN. News Corp’s senior vice president and deputy CFO, Andrew Cramer, has also joined the board of DAZN, underscoring the ongoing relationship between the two media players.
A new era for Foxtel
DAZN’s acquisition is expected to turbocharge Foxtel’s evolution from a traditional subscription TV business to a digital-first sports and entertainment platform. While local Foxtel customers may not notice immediate changes, DAZN’s global expertise in direct-to-consumer sports delivery is likely to influence the group’s strategy and product offering moving forward.
“Foxtel’s successful transformation to becoming a leading provider of sports and entertainment is a result of the team’s tenacity, creativity and professionalism,” said News Corp CEO Robert Thomson. “We are confident that DAZN is poised to drive the next phase of Foxtel’s growth and we are delighted to be DAZN’s partner and shareholder.”
Foxtel has undergone a significant reinvention in recent years, with the launches of Kayo Sports, Binge, and Flash helping to offset declines in linear television. The group has secured key sports rights and invested in original content as part of its digital growth strategy.
Strategic focus for News Corp
For News Corp, the divestment marks a clear move toward sharpening its focus on core growth areas such as digital real estate, publishing, and financial information services.
“The sale of Foxtel is significant for News Corp, and will enable greater focus on our core growth pillars, which drove over 95% of Total Segment EBITDA in the Company’s fiscal second quarter,” said CFO Lavanya Chandrashekar. “It will also meaningfully strengthen our balance sheet and should reduce future capital intensity and improve return on invested capital.”
News Corp expects the sale to be accretive to earnings per share and provide additional capital flexibility.
What this means for the Australian media market
The completion of the deal caps off months of speculation around Foxtel’s future and opens a new chapter for sports broadcasting in Australia. DAZN has previously indicated its intention to expand globally, and this acquisition provides a significant footprint in the Asia-Pacific region.
The move may also spark fresh competition in Australia’s increasingly crowded streaming market, particularly in sports where rights and access remain fiercely contested.
For now, News Corp remains a minority stakeholder in the newly expanded DAZN, while reaffirming its “passionate support for Australian sport and entertainment” through its broader media properties.