12 Nov 2021
Posted in Sport
David Blitzer’s purchase of Real Salt Lake would capitalize on anticipated rights expansion, says GlobalData
Following the news that David Blitzer is part of an investment group that is close to acquiring recently established MLS Real Salt Lake;
Patrick Kinch, Sport Analyst at GlobalData, a leading analytics and data company, offers his view:
“A co-owner of Premier League side Crystal Palace, David Blitzer also holds ownership stakes in the NFL’s Philadelphia 76ers and the NHL’s New Jersey Devils. The MLS, at present, represents an attractive investment proposition for potential investors – given the competition’s continued expansion into different US markets in Salt Lake and Austin and the prospect of an expanded rights deal at the MLS’s next tender in 2022.
“Currently, the MLS sees its domestic rights valued at $776 million in contracts with ESPN, ABC, Fox Sports and Univision between 2015 and 2022. The expansion of the MLS to 27 teams – set to reach 29 by 2023 – combined with a media rights market that has proven to be buoyant despite the pandemic, is a sure lure to Blitzer and his investment partners.
“Promisingly for Blitzer, the MLS has recently signed a significant sponsorship agreement with Procter & Gamble – the league’s second biggest deal outside of its $700 million adidas kit supplier deal. This a sign that the MLS is turning another commercial corner in its bid to emerge as North America’s most popular domestic soccer league. Future expansion in 2023 may support this bid, however, in the short term, Blitzer and his investors will hope that the media rights market will be the biggest driver behind their return on investment.”