Via the L.A. Times –
Regional sports networks continue to be the hottest ticket in media.
21st Century Fox said Friday that it was taking a majority stake in the New York Yankees Entertainment and Sports Network, known as the YES Network, a little more than a year after Fox first invested in the popular regional sports channel.
Fox said it would increase its stake to 80%, up from the 49% interest it bought in December 2012.
Fox declined to say how much it was paying for its increased interest. It paid $584 million for the 49% stake in 2012.
At that time, the entertainment company headed by Rupert Murdoch also paid $250 million to help cover some programming costs. That put Fox’s initial investment in the channel at $834 million, according to regulatory documents.
Fox had long planned to own a majority stake in the channel, but it increased its holdings more rapidly than initially envisioned. The value of sports channels has accelerated in recent years.
When Fox first invested in the YES Network, some analysts valued the channel at more than $3 billion.
Yankee Global Enterprises is to hold the remaining 20% stake.
Does this mean that Yankees broadcasts will soon be fun of promos for FOX shows?