SYDNEY, Dec 23, 2024 (BSS/AFP) - Rupert Murdoch's News Corp announced Monday it would sell its Australian cable TV Foxtel to UK sports streaming service DAZN for US$ 2.1 billion.

Under the agreement, Foxtel's debt will be refinanced and shareholder loans valued at Aus$578 million (US$361 million) outstanding will be repaid in full in cash. 

News Corp will hold a 6 percent stake in DAZN, a global streaming platform backed by British-American billionaire Len Blavatnik.

The deal was "incredibly exciting" and would allow DAZN to "enter a key market, marking another step in our long-term strategy to become the global home of sport", the company's co-founder and chief executive officer Shay Segev said in a statement.

Australian telecommunication giant Telstra will also sell its 35 percent stake in Foxtel to DAZN for Aus$128 million, retaining a 3 percent share in the new venture. 

Under the deal, DAZN will secure a range of multimillion-dollar content deals in the Australian market, including cricket and Australian Rules football, local media reported. 

News Corp global chief executive Robert Thomson said the agreement was a "victory" for sporting fans around the world. 

"We believe DAZN is the right owner to take the business to the next level with their technological capabilities, global footprint and compelling sports rights," he said in a statement.
 
Thomson added the deal would allow News Corp to focus on "key growth segments" -- including book publishing, Dow Jones, and digital real estate services.

The deal is not expected to be finalised until 2025 and is subject to regulatory approval.