The Post reports that Sports Illustrated’s publishing license has attracted interest from at least two new bidders, including the Jeff Zucker-backed news site Front Office Sports. .
In addition to Front Office Sports, which is minority-owned by former CNN president’s media specialist acquisition firm Redbird IMI Management, Sports Illustrated publishing rights are owned by The Players Tribune Blog, founded by Derek Jeter in 2019. There is also a possibility that it will receive a bid from Minute Media, which it acquired. said the official.
SI’s publishing rights were put into contention earlier this month after current licensee The Arena Group failed to pay quarterly fees of $3.75 million, leading to SI’s owner Authentic Brands Group terminating the license. is what happened.
Arena, which made headlines on January 19 when it told the entire Sports Illustrated staff that they would lose their jobs due to the explosion, is still working on a 60-day contract, even as it scrambles to negotiate lower rates. The SI is being published based on the provisions, the officials said.
In October, Jeff Zucker’s Redbird IMI Management purchased a minority stake in Front Office Sports, which covers the impact of sports on business and culture.
Front Office Sports may publish the article through Sports Illustrated, according to a person familiar with the matter. There may also be opportunities for co-branding, sources said.
Arena, which also publishes titles such as Men’s Health, TheStreet and Parade, hopes to stay on after winning a reduction in licensing fees, the people said.
Sources say the auction for the SI license is in its early stages, but there appears to be interest in the battered iconic brand. The newspaper reported on Jan. 19 that Penske Media and Essence also had phone calls about acquiring a license, but it is unclear whether the negotiations have progressed.
Authentic Brands declined to comment. Representatives from Front Office Sports and Minute Media did not return calls.
Minute Media, which also owns the Fancide and Mental Floss sites, will roughly double its revenue by $500 million if it signs a licensing deal with SI Publishing, sources said. In his interview with CTech last spring, Minute Media founder and CEO Asaf Peled predicted his company would be profitable by the end of his 2023.
“We are looking at acquisitions,” Peled said at the time. “We will be proactive on that front.”
In 2019, he acquired Jeters Players Tribune, a forum where players write their stories and connect with fans.
last week, Minute Media announces acquisition of STN Videopartners with all major U.S. sports leagues to enhance and monetize user engagement. Minute Media said it received financing for the acquisition from funds and accounts managed by BlackRock.
Minute Media is the official North American content partner of Germany’s top soccer league, the Bundesliga. Minute Media’s global soccer platform, 9min, provides match content.
Mr. Peled started his own business after working for technology conglomerate Cisco, where he focused on acquisitions and investments in the Israeli technology sector. He is also a former Israeli venture capitalist.
Meanwhile, New York’s News Guild and Sports Illustrated Union announced Monday that they have filed legal action against Arena Group with the National Labor Relations Board. They claim Arena fired several workers for union activity without the required 90 days’ notice.
