London Daily

Focus on the big picture.
Saturday, Feb 22, 2025

Final whistle for talks between Matchroom Sport and Six Nations Rugby backer CVC

Final whistle for talks between Matchroom Sport and Six Nations Rugby backer CVC

A period of exclusive negotiations between Barry and Eddie Hearn's sports promoter and CVC Capital Partners has ended after they failed to agree a price.
The sports promoter created by Barry and Eddie Hearn has ended talks about the sale of a large stake to CVC Capital Partners, the buyout firm which backs Six Nations Rugby.

Sky News has learnt that a period of exclusive negotiations between Matchroom Sport and CVC has concluded after the two sides were unable to agree on a price.

Industry sources said on Thursday that the discussions fell apart last week.

While it was possible that they could be revived, such a development was unlikely, the sources added.

Sky News revealed nearly a year ago that Matchroom was exploring the sale of a big minority stake as the Hearns sought new capital to accelerate the company's expansion.

One insider said Matchroom could pursue a deal with another investor or, eventually, a public listing for its shares.

Founded by Barry Hearn in its current guise in 1982, Matchroom dominated the management and promotion of snooker during its heyday, with huge television audiences tuning in to watch stars such as Steve Davis and Jimmy 'Whirlwind' White.

This week, the elder Mr Hearn appeared at Sheffield's Crucible Theatre alongside the first winner of the World Snooker Championship from mainland Europe, the Belgian Luca Brecel.

Since the early 1980s, it has diversified into other sports, most notably boxing, and was responsible for staging the landmark fight between Frank Bruno and Joe Bugner at Tottenham Hotspur's White Hart Lane ground in 1987.

It is now one of the most important commercial players in the boxing world, promoting fighters including Anthony Joshua, Katie Taylor and Josh Warrington.

This week, Eddie Hearn, who runs Matchroom on a day-to-day basis, is in Guadalajara, Mexico, to promote a super-middleweight bout between Saul 'Canelo' Alvarez and John Ryder.

Sources said that a deal between CVC and Matchroom would have valued the sport's promoter at roughly £700m, while the Hearns believe it is worth £100m more than that figure.

The recent $21bn deal which saw Endeavor Group Holdings agree to combine UFC with World Wrestling Entertainment is said to have fuelled the Matchroom executives' expectations about the future value of their company.

CVC, meanwhile, is thought to have been determined to retain pricing discipline at a time of soaring valuations for premium sports assets.

The owners of Manchester United FC, for example, could agree a world record price for a football club in the coming days.

Last year, the TV and streaming rights to Indian Premier League cricket were bought for more than $6bn in deals involving global media giants such as Disney.

KKR and Searchlight Capital were interested in a deal with Matchroom last year, although it was unclear on Thursday whether either would seek to revive discussions.

The Hearns are understood to have no intention of relinquishing control of Matchroom, which also has a substantial presence in sports such as darts and pool.

In a recent Sunday Times interview, the younger Mr Hearn said: "It's such a difficult conversation over Sunday lunch, because my dad has always said to me: 'Whatever you do, do not sell this business, do not let people into the business, do not let people affect your decisions. This is our company - we will make all the decisions, and that's how it will always be.'

"But I recognise that through our growth, there is another level. We are already operating at a level that no one ever expected us to, but there's so much more potential for growth."

In 2021, Matchroom struck a global deal with the sports streaming platform DAZN, adding to a reported $1bn tie-up in 2018 that saw DAZN agree to show Matchroom's fights in the US.

Private equity firms have seized on the potential to acquire sports and related media assets to create new commercial formats which are more readily embraced by both fans and broadcasters.

CVC has been the most prolific example of this, snapping up stakes in leagues and other formats in rugby union, tennis and volleyball.

It has also been a major investor in football, buying a stake in Spain's La Liga commercial rights, while it is among the contenders for a similar deal in Germany's Bundesliga.

CVC's investment in Formula One motor racing, which it exited in 2016 through the sale of its remaining stake to Liberty Media Corporation, is often referred to as one of the most lucrative in the history of private equity.

Matchroom and CVC both declined to comment on the talks.
Newsletter

Related Articles

0:00
0:00
Close
UK Prison Officer Sentenced for Inappropriate Conduct with Inmate
Good News: Senate Confirms Kash Patel as FBI Director
Officials from the U.S. and Hungary Engage in Talks on Economic Collaboration and Sanctions Strategy
James Bond Franchise Transitions to Amazon MGM Studios
Technology Giants Ramp Up Lobbying Initiatives Against Strict EU Regulations
Alibaba Exceeds Quarterly Projections Fueled by Growth in Cloud and AI
Tequila Sector Faces Surplus Crisis as Agave Prices Dive Sharply
Residents of Flintshire Mobile Home Park Grapple with Maintenance Issues and Uncertain Future
Ronan Keating Criticizes Irish Justice System Following Fatal Crash Involving His Brother
Gordon Ramsay's Lucky Cat Restaurant Faces Unprecedented Theft
Israeli Family Mourns Loss of Peace Advocate Oded Lifschitz as Body Returned from Gaza
Former UK Defense Chief Calls for Enhanced European Support for Ukraine
Pope Francis Admitted to Hospital in Rome Amid Rising Succession Speculation
Senate Republican Leader Mitch McConnell, at the age of 83, Declares His Retirement.
Whistleblower Reveals Whitehall’s Focus on Kabul Animal Airlift Amid Crisis
Politicians Who Deliberately Lie Could Face Removal from Office in Wales
Scottish Labour Faces Challenges Ahead of 2026 Holyrood Elections
Leftwing Activists Less Likely to Work with Political Rivals, Study Finds
Boris Johnson to Host 'An Evening with Boris Johnson' at Edinburgh's Usher Hall
Planned Change in British Citizenship Rules Faces First Legal Challenge
Northumberland Postal Worker Sentenced for Sexual Assaults During Deliveries
British Journalist Missing in Brazil for 11 Days
Tesco Fixes Website Glitch That Disrupted Online Grocery Orders
Amnesty International Critiques UK's Predictive Policing Practices
Burglar Jailed After Falling into Home-Made Trap in Blyth
Sellafield Nuclear Site Exits Special Measures for Physical Security Amid Ongoing Cybersecurity Concerns
Avian Influenza Impact on Seals in Norfolk: Four Deaths Confirmed
First Arrest Under Scotland's Abortion Clinic Buffer Zone Law Amidst International Controversy
Meghan Markle Rebrands Lifestyle Venture as 'As Ever' Ahead of Netflix Series Launch
Inter-Island Ferry Services Between Guernsey and Jersey Set to Expand
Significant Proportion of Cancer Patients in England and Wales Not Receiving Recommended Treatments
Final Consultation Launched for Vyrnwy Frankton Power Line Project
Drug Misuse Deaths in Scotland Rise by 12% in 2023
Failed £100 Million Cocaine Smuggling Operation in the Scottish Highlands
Central Cee Equals MOBO Awards Record; Bashy and Ayra Starr Among Top Honorees
EastEnders: Four Decades of Challenging Social Norms
Jonathan Bailey Channels 'Succession' in Bold Richard II Performance
Northern Ireland's First Astronaut Engages in Rigorous Spacewalk Training
Former Postman Sentenced for Series of Sexual Offences in Northumberland
Record Surge in Anti-Muslim Hate Crimes Across the UK in 2024
Omagh Bombing Inquiry Concludes Commemorative Hearings with Survivor Testimonies
UK Government Introduces 'Ronan's Law' to Combat Online Knife Sales to Minors
Metal Detectorists Unearth 15th-Century Coin Hoard in Scottish Borders
Woman Charged in 1978 Death of Five-Year-Old Girl in South London
Expanding Sinkhole in Godstone, Surrey, Forces Evacuations and Road Closures
Bangor University Announces Plans to Cut 200 Jobs Amid £15 Million Savings Target
British Journalist Charlotte Peet Reported Missing in Brazil
UK Inflation Rises to 3% in January Amid Higher Food Prices and School Fees
Starmer Defends Zelensky Amidst Trump's 'Dictator' Allegation
Zelensky Calls on World Leaders to Back Peace Efforts in Light of Strains with Trump
×