Diamond Sports Group, which operates as the FanDuel Sports Network, has announced that the company’s plan to emerge from Chapter 11 bankruptcy protection was approved by the United States Bankruptcy Court for the Southern District of Texas. In the coming weeks, DSG will complete its restructuring process to satisfy conditions and move forward with its plan.
Diamond will complete a comprehensive balance sheet restructuring that will reduce its debt from almost $9 billion to $200 million as part of its plan. Upon completion of its restructuring, Diamond will be well capitalized with more than $100 million in cash and cash equivalents on its balance sheet.
The FanDuel Sports Network, which was formerly known as Bally Sports, will be home to 27 professional sports teams upon emergence. The 13 NBA teams, 8 NHL teams and 6 MLB teams that can be found on the RSN include:
- NBA: Atlanta Hawks, Charlotte Hornets, Cleveland Cavaliers, Detroit Pistons, Indiana Pacers, Los Angeles Clippers, Memphis Grizzlies, Miami Heat, Milwaukee Bucks, Minnesota Timberwolves, Oklahoma City Thunder, Orlando Magic and San Antonio Spurs.
- NHL: Carolina Hurricanes, Columbus Blue Jackets, Detroit Red Wings, Los Angeles Kings, Minnesota Wild, Nashville Predators, St. Louis Blues and Tampa Bay Lightning.
- MLB: Atlanta Braves, Los Angeles Angels, Miami Marlins, St. Louis Cardinals, Detroit Tigers and Tampa Bay Rays.
David Preschlack, CEO of Diamond, stated: “Today is a landmark day for Diamond, as we embark on a new path for our business. Diamond is now unencumbered by legacy debt, financially stable and enthusiastically supported by new ownership. Over the last eighteen months, we have worked tirelessly to strengthen our business, including by reaching revised multi-year rights agreements with team and league partners, go-forward carriage agreements with major distribution partners, a broad naming rights partnership with FanDuel and a commercial agreement with Amazon. These critical achievements and a realigned business are enabling us to emerge as a sustainable, go-forward entity that drives value for our partners and fans.”
Preschlack, Eric Ratchman, President of Distribution and Business Development; and David DeVoe Jr., Chief Operating Officer and Chief Financial Officer will remain in their respective role after the restructuring process is completed. New members will be joining Diamond’s board after the company’s emergence from bankruptcy.
Preschlack continued, “Looking ahead, Diamond is well-positioned to further enhance its product offering and remains committed to delivering the highest quality live sports content in-market to fans through both linear and direct-to-consumer frameworks. I want to express my gratitude to the hardworking Diamond Sports Group employees for their unwavering support, dedication and continued confidence throughout this transformative period. Together, we are excited to build a bright future for Diamond and our stakeholders.”
As part of DSG’s emergence plan, the business will operate through its market-aligned rights agreements, linear and DTC distribution framework, and prominent third-party partnerships. This plan received near unanimous support from Diamond’s almost $9 billion in funded debt holders. Notably, Sinclair, Inc.’s equity interests in Diamond will be cancelled. Diamond will operate as a standalone entity, having already completed its operational separation from Sinclair.
For now, cord cutters can watch games on the FanDuel Sports Network with DIRECTV STREAM, Fubo, and DTC depending on the team. Hulu + Live TV, YouTube TV, and Sling TV do not currently offer FanDuel Sports Network RSNs. But recently, the RSN struck a deal to bring its streams to Prime Channels.