Rede TV! Secure USD933m Broadcast Deal for Brazil Soccer League

March 28, 2011

A controversial new US$933m broadcast deal has been agreed by Clube dos 13, the organisation which represents the 20 soccer teams participating in the Brasileirão, with Brazilian television network Rede TV!.

Under the terms of the agreement, Rede TV! obtains the domestic television rights for Brazil’s highest tier of professional soccer until the end of the 2014 season and represents a $34.3m increase on the league’s existing deal with Rede Globo which expires at the end of this season.

Clube dos 13’s arrangement with Rede TV does not cover internet, mobile or international rights, but merely free-to-air television broadcast.

Despite having agreed terms with Rede TV!, the only company involved in the tender process, the deal is only likely to go ahead if Clube dos 13 can convince all of the league’s participating clubs, many of whom are already in advanced negotiations with separate broadcasters.

In February 2011, one of Brazil’s most popular teams, Corinthians, left Clube dos 13 following differing viewpoints on the division of broadcast rights with marketing vice president Luis Paulo Rosenberg insisting more revenue could be generated by negotiating contracts individually.

“We can double our broadcast revenue. Our benchmark is Barcelona, not Atletico Madrid,” said Rosenberg in a recent interview.