Manchester United Buy Out Sky to Fully-Own MUTV

January 22, 2013

Global soccer giants, Manchester United have announced they now fully own their televison outlet, Manchester United Television (MUTV) after acquiring BskyB’s (Sky) one-third minority equity stake.

As part of the club’s long-term digital media plans, Manchester United has made the strategic acquisition of Sky’s stake in MUTV in order to own 100 per cent of the content production and distribution capabilities of this business.

MUTV was launched in 1998 as a three-way joint venture, with UK broadcasters ITV and Sky as equal partners.

Since then, MUTV has developed considerable in-house expertise and Manchester United bought ITV’s one-third equity stake in November 2007.

MUTV is available in 57 countries around the world. It is accessed in the UK and Ireland by subscription on satellite and cable platforms, and in the rest of the world through a combination of subscription or as programming blocks purchased by international broadcasters. It employs 60 staff.

Manchester United commercial director Richard Arnold said: “The acquisition of Sky’s stake is great news for all our fans who watch us around the globe, MUTV, its staff and the club.

“We look forward to continuing to enhance our media proposition and distribution capabilities in the years to come, and delivering some of the best and most compelling content to our 659million followers.

“Sky has been an active and highly-valued partner since the channel’s inception and has helped to build the best and most-watched club football channel in the world.

“We will continue to have a close relationship with Sky in the future.”

Steven Falk, Director of Star Sports Marketing, told iSportconnect about the benefits of owning 100% of MUTV: “MUTV has been a high profile if somewhat under performing asset for its shareholders ever since it launched.

“MU’s long sought acquisition of Sky’s stake meets the Glazer’s philosophy of full ownership of all club strategic assets. It will allow the club much greater flexibility over content and investment strategy and position it well to exploit any change in live and highlights rights distribution as they arise.

“The club already purchases the entire MUTV advertising inventory to ensure it can offer channel exclusivity to its sponsors. Now it will be able to add the c85,000 MUTV subscriber base to its CRM data set.

“It remains to be seen if MUTV will retain its privileged channel slot adjacent to Sky Sports News once Sky exits.”

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