News Corporation and ESPN announced today that they have entered into a
definitive agreement under which a unit of News Corporation will buy
ESPN’s 50 percent equity interest in ESPN STAR Sports (ESS). The
transaction will allow News Corporation units to own and operate all of
the ESS businesses while providing ESPN more independence and
flexibility in future support of The Walt Disney Company’s overall
efforts in Asia.
The transaction is subject to customary regulatory approvals and ESS
will continue to be jointly managed by the two companies until the
transaction closes.
“News Corporation's acquisition of the interest of ESS that we did not
already own continues the program of simplifying our operating model,
consolidating our affiliate ownership structures, and furthers our
commitment to delivering incredible sports programming to consumers
across the globe, and particularly enhancing our position in sports
programming in emerging markets,” said James Murdoch, Deputy Chief
Operating Officer and Chairman & CEO International, News Corporation.
“After 16 years jointly managing ESS, we have decided to independently
pursue future opportunities in Asia,” said John Skipper, President of
ESPN and Co-Chairman, Disney Media Networks. “We are extremely proud of
our role in building ESS into what it is today, and now with the growing
digital landscape in Asia, we look forward to continuing to serve Asian
sports fans through ESPN-branded digital businesses like ESPNCricinfo,
the leading digital cricket brand in the world, ESPNFC and ESPN Mobile.”
News Corporation and ESPN also announced that Manu Sawhney, Managing
Director of ESS, who has led ESS through significant growth over the
last 16 years, will transition his role of Managing Director to Peter
Hutton, currently SVP of Sports for FOX International Channels (FIC).
Hutton will report to the ESS Board. Sawhney will be staying with the
Company until August 31 to work with Hutton on a smooth transition.
Sawhney joined ESS’s marketing department in India in 1996 and went on
to head its India business for four years, before shifting to Singapore
as Head of Programming, Acquisition and Marketing. He was promoted to
Managing Director in 2007. During his career at ESS, he has been
responsible for various functions across the Company, including sales,
distribution, programming, acquisition, marketing and network
presentation.
“In his 16 years with the Company, Manu has been a key architect of
ESS’s growth, and his contributions since its inception have helped ESS
become a leading sports media Company in Asia, bringing world class
events -- from the ICC Cricket World Cup to the London 2012 Olympic
Games -- to fans across the region. He led ESS’s expansion to 24
countries across multiple platforms and networks, including launching
STAR Cricket, ESPN HD, STAR Cricket HD, ESPNEWS and ESPN Player. We are
very grateful to him for his significant contributions to the Company
during his time in India and Singapore,” said Jan Koeppen, COO Europe
and Asia, News Corporation and Russell Wolff, Executive Vice President
and Managing Director, ESPN International.
They added, “Peter is a very talented sports media executive, and we
believe his extensive experience in sports rights and production will
serve ESS well as the business enters into a new phase of development.”
Sawhney said, “It has been a privilege to serve News Corporation and
ESPN at ESS for 16 exciting years. I have had an opportunity to grow
with the Company and work with an amazing group of people during my
tenure, expanding our business to 28 networks across television, online,
broadband and mobile. As the organization begins a new chapter under new
ownership, I have decided to move on after the transition and I am
looking forward to the next exciting phase of my career.”
“I am excited to take on this new role,” Hutton said. “I look forward to
working with the ESS team to consolidate ESS’s leadership position in
sports broadcasting in Asia, and to continue the Company’s record of
broadcasting excellence in serving sports fans.”
Hutton joined FOX International Channels Sports in 2011 after 20 years
in the international sports television business. He previously worked at
Broad Reach Media, a media consultancy firm. Prior to that, Hutton was
at Ten Sports in Dubai from 2002-2009, where he eventually served as
Chief Operating Officer. From 1993-2002, he ran TWI, the television
division of IMG, running their Indian business as well as television
production for Asia. He was a radio and television journalist,
commentator and presenter from 1982-1993. Hutton earned a Bachelor’s
degree from the Cambridge University and will be relocating to Singapore
with his family.
About News Corporation
News Corporation (NASDAQ: NWS, NWSA; ASX: NWS, NWSLV) had total assets
as of March 31, 2012 of approximately US$61 billion and total annual
revenues of approximately US$34 billion. News Corporation is a
diversified global media company with operations in six industry
segments: cable network programming; filmed entertainment; television;
direct broadcast satellite television; publishing; and other. The
activities of News Corporation are conducted principally in the United
States, Continental Europe, the United Kingdom, Australia, Asia and
Latin America.
For more information about News Corporation, please visit www.newscorp.com.
About FOX International Channels
FOX International Channels (FIC) is News Corporation's
international multi-media business. We develop, produce and distribute
350+ wholly- and majority-owned entertainment, factual, sports and movie
channels across Latin America, Europe, Asia and Africa, in 37 languages.
These networks and their related mobile, non-linear and high-definition
extensions, reach over 1.1 billion households worldwide. We also operate
a global online advertising unit, .FOX (pronounced "dot-fox")
specialized in online video and display, and four TV production houses.
In operation since: August 14, 1993.
About ESPN Inc.
ESPN, Inc., is the world’s leading multinational, multimedia sports
entertainment company featuring a portfolio of more than 50 multimedia
sports assets. The company is comprised of eight 24-hour domestic
television networks (ESPN, ESPN2, ESPNEWS, ESPNU, ESPN Classic, ESPN
Deportes, ESPN 3D and the regionally focused Longhorn Network) and five
HD simulcast services (ESPN, ESPN2, ESPNU, ESPNEWS and ESPN Deportes).
Other businesses include ESPN Regional Television, ESPN International
(48 networks, syndication, radio, websites, mobile, apps), ESPN Audio
(broadcast, satellite, online and apps, a growing category led by
ScoreCenter), ESPN.com (plus a variety of sport-, college-, and
market-specific sites), ESPN The Magazine, ESPN Enterprises, ESPNHS and
espnW. Multi-screen offerings include WatchESPN (access to several ESPN
networks online and via an app) and ESPN3 (live multi-screen network
available online, on the go and via Xbox LIVE). Based in Bristol, Conn.,
ESPN is 80 percent owned by ABC, Inc., which is an indirect subsidiary
of The Walt Disney Company. The Hearst Corporation holds a 20 percent
interest in ESPN.
About ESPN International
ESPN International is a division of ESPN, Inc., and operates robust
multi-media businesses in Brazil; Spanish-speaking Latin America
(spanning 18 countries and territories); the UK and Ireland; Europe, the
Middle East and Africa (reaching more than 35 countries in the EMEA
region); Canada; the Caribbean; Australia, New Zealand and the Pacific
Islands and more.
About ESPN in Asia Pacific
ESPN currently owns a variety of businesses in Asia and the Pacific Rim
including the leading cricket website in the world, ESPNCricinfo.com,
ESPNFC, ESPNScrum.com, ESPNfootytips.com, multiple ESPN Mobile
businesses and holds an interest in JSB ESPN in Japan. ESPN is also an
investor in NBA China. ESPN also continues to operate its wholly-owned
multi-platform media business in Australia, New Zealand and the Pacific
Islands. The Walt Disney Company owns and operates the Disney Channel in
20 countries, in addition to Disney Junior and Disney XD across the
region. Additionally, Disney recently announced the acquisition of a
controlling interest in UTV, one of India’s premier media and
entertainment companies.
About ESPN STAR Sports
ESPN STAR Sports is a 50:50 joint venture between The Walt Disney
Company (NYSE: DIS) and News Corporation Limited ((NASDAQ: NWS, NWSA;
ASX: NWS, NWSLV), delivering a diverse array of international and
regional sports to viewers.
ESPN STAR Sports features a comprehensive portfolio of multimedia assets
including its television networks (ESPN, STAR Sports, STAR Cricket,
ESPNEWS, ESPN HD, STAR Cricket HD), broadband network (ESPN Player),
digital content services (espnstar.com, mobileESPN), and its on-ground
Event Management Group with the aim to engage and entertain sports fans
anytime, anyplace.
ESPN STAR Sports showcases an unparalleled variety of premier sports
from around the globe featuring some of the most iconic sports events to
viewers across 24 countries in Asia through its 28 networks, each
localized to deliver differentiated programming to meet diverse needs of
Asian sports fans.
