FOS PM: $2B CVC-La Liga Deal Opposed

Front Office Sports

Rockstar Games confirmed Friday morning that it is in “active development for the next entry” in the Grand Theft Auto series. According to Take-Two Interactive, more than 155 million copies of “GTA 5” have been sold.

The Spanish Football Association, Real Federación Española de Fútbol, ​​has joined a lawsuit led by Barcelona, ​​Real Madrid, and Athletic Bilbao that opposes a deal between La Liga and CVC Capital Partners.

CVC struck a deal worth roughly $2.3 billion last year to assist with La Liga’s pandemic-related financial struggles.

  • The equity firm would receive a reported 8.2% stake of the league’s new media company in charge of managing media rights — La Liga Impulso — over a 50-year period.
  • CVC has admitted that the firm is likely to sell within the next 10 years.

Barcelona, Real Madridand Athletic Bilbao Filed a lawsuit against the deal shortly after it received approval from 37 of the league’s 42 teams in December. The called the deal “ruinous” for Spanish football and presented an alternative plan for funding that they said would be “15 times cheaper“ ahead of the vote.

RFEF has now joined the three clubs “to prevent Spanish football from being conditioned for the next 50 years.” The governing body emphasized that the league and private equity firm were the only beneficiaries of the deal.

Season of CVC

CVC Capital isn’t only focused on La Liga. the firm, Advent Internationaland Italy’s FSI Fund, agreed to a similar $2 billion deal for a 10% stake in Italy’s Serie A’s media unit. The league’s board unanimously approved the deal in November. Bundesliga blocked a deal in May that would have given CVC and other firms a 25% stake in its media rights.

Digital fitness company Future announced a $75 million Series C funding round on Thursday led by private equity firms SC.Holdings and Trustbridge Partners.

A service that pairs members with fitness coaches and tracks workouts through an Apple Watch, Future has raised more than $110 million in total funding. Users pay $149 each month for unlimited access to their coach, averaging four texts per day.

The round includes Kevin Durant’s Thirty Five VenturesPhiladelphia 76ers and New Jersey Devils owner Harris Blitzer EntertainmentFabletics cofounder Kate Hudson, golfer Rory McIlroy, and Arizona Cardinals’ defensive end JJ Watt as investors.

  • The capital will be used toward advertising and hiring full-time trainers.
  • Future is reportedly looking at expanding into stress management and nutrition.

The company says it has one of the largest trainer networks in the US

Fitness of the Future

Kate Hudson and her brother Oliver, who is also an investor in the round, will host Sibling Revelry, a podcast discussing health, wellness, and fitness, As opposed to recording workout videos, to promote the brand. The podcast adds to the list of fitness companies expanding into wellness.

Hypericea company known for its recovery and movement technology, acquired mental wellness company Core last year, while Pelotonknown for its workout equipment, launched stretching and meditation classes on Delta Airlines.

Editor’s note: SC.Holdings is an investor in FOS.

Capcom/Design: Alex Brooks

The Public Investment Fund, Saudi Arabia’s sovereign wealth fund, is taking its investments in video game companies to the next level with the purchase of a combined holding worth more than $1 billion in gaming firms Capcom and Nexon.

The PIF, which has $480 billion in assets under management, disclosed it has acquired a more than 5% stake in each of the Japan-based companies.

The fund a stake in Capcom, the studio behind the “purchased Street Fighter” franchise roughly $332 millionaccording to Friday’s share price, while its stake in online games provider Nexon is worth about $883 million.

Headed by Crown Prince Mohammed, the PIF has a growing list of gaming-related investments.

  • The fund has 5.6 million Take-Two Interactive shares worth roughly $996 million.
  • It has 14.2 million Electronic Arts shares worth $1.9 billion.
  • The fund has 37.9 million Activision Blizzard shares worth more than $3 billion.

The PIF has said that its holdings in Capcom and Nexon are for “pure investment.” The fund has been aggressive about investing in tech to help alleviate Saudi Arabia’s reliance on oil.

Staying Busy

Earlier this week, The Asian Tour announced an increased investment by LIV Golf Investments, an investment entity backed by the PIF. To date, LIV has invested $300 million in the golf tour.

The PIF has also invested in McLarenacquired the Premier League’s Newcastleand is reportedly nearing a deal to purchase Serie A’s Inter Milan for $1 billion.

  • In The Leadoff, Amazon increases its prime price to $139 annually, an MLB spring training delay becomes more likely, Bryson DeChambeau denies getting a $135 million offer to join the Super Golf League, and Asics runs profit amid controversy in China. Click here to listen.
  • Activision Blizzard generated $2.49 billion in revenue in Q4 2021, missing analysts’ estimates of $2.84 billion. The company cited “lower than expected performance” in its Activision division.
  • MLB has requested help from the Federal Mediation and Conciliation Service to aid in negotiations with the MLBPA and team owners. The MLBPA must approve use of the FMCS.
  • The New York Giants have denied any wrongdoing following allegations by former Miami Dolphins head coach Brian Flores of an improper interviewing process.

Find out exactly what’s happening in the private markets every week with highlights from our Front Office Sports Insights Deal Tracker.

We carefully monitor both public and private market data to capture a picture of what the sports landscape looks like.

Insights Deal Tracker Highlights:

  • Bungiea video games developer that includes online sports, was acquired by Sony for a reported $3.6 billion.
  • Future, the developer of a personal training app designed to connect members with high-level fitness coaches, raised $75 million in a Series C funding in a round led by Trustbridge Partners and SC.Holdings.
  • The WNBAa professional women’s basketball league, raised $75 million in development capital from Nike, Condoleezza Rice, Laurene Powell Jobs, and Pau Gasol, among others.
  • Metafya developer of an e-learning platform designed to provide esports education, raised $25 million in a Series A funding round led by Tiger Global and Alexis Ohanian’s Seven Seven Six capital.
  • RUN.EDGE, the Tokyo-based developer of sports video analysis technology designed to turn sports scenes from video analysis into new user experiences, raised $6.7 million from Asics Ventures in later stage VC funding.

Try out the full Deal Tracker.

(Note: All as of market close on 2/4/22)

The Philadelphia 76ers (31-20) face the Dallas Mavericks (29-23) on Friday at American Airlines Center.

How to Watch: 10 pm ET on ESPN

Betting Odds: Mavericks -2 || ML -125 || O/U 210.5* (Bet on DraftKings)

Pick: Expect the Mavericks to protect home court. Take Dallas to cover.