osting a special conference call, The Stars Group CEO Rafi Ashkenazi has detailed further insights and arrangements related to the firm’s announced joint venture ‘FOX Bet’, partnering with US national broadcaster FOX. Securing a 25-year commercial agreement, the Stars Group will act as lead sports betting and iGaming services provider for the FOX Corporation.
“This partnership gives us the ideal platform to excel in the US market working with the iconic FOX brand, which secures an extensive portfolio of premier sports rights and programming, supported with incredible on-air talent and reaching nearly all US households,” Ashkenazi detailed to Stars Group investors, as reported by SBC News.
In the presentation, Ashkenazi confirmed that FOX Bet will be led by current Stars Group Chief Corporate Development Officer Robin Chhabra as joint-venture CEO.
Building Fox Bet’s foundations, the Stars Group has set up a ‘US advisory board’ led by Ted Moss, former managing director SkyBet UK, and Andy Clerkson founder Grande Parade. Leading the Fox Bet JV, Chhabra showed confidence in delivering US betting’s premier wagering proposition, as ‘FOX Sports is the ideal springboard – a media brand embedded within US sports’.
Chhabra remarked that FOX Sports has superior brand awareness of 80% with US audiences, ‘50% higher than any daily fantasy sports operator or existing casino brand.’ “The strengthens of FOX are clear and provide us with an immediate advantage over market competitors,” Chhabra concluded.
Stars Group governance believes that in FOX it has secured the ideal multimedia partner to scale the US market, allowing the company to ‘capitalize on its proprietary technologies and operating expertise’ – replicating the ‘success of Sky Bet within the UK market’. Detailing strong JV (joint venture) foundations, Stars Group underlines that it has partnered with a multimedia operator that can reach ‘100 million viewers in a single weekend of programming’.
JV partner FOX Sports is recognized as ‘US Sports second most recognizable brand,’ supporting a diverse portfolio of sports programming, including broadcasts of the NFL, MLB, MLS, Nascar and US Golf.
Ashkenazi emphasized the commitment FOX has undertaken on the joint-venture, which sees the US media firm acquire 4.99% in the Stars Group Inc. In addition, FOX will further gain ‘the right to acquire up to a 50% equity stake in The Stars Group’s US business’.
“The arrangement provides both parties with a significant economic and strategic alignment, that maintains the ability to convert long-term commercial opportunities into a successful 50-50 joint venture partnership”, Ashkenazi said.