Today Bally Sports had a major court hearing related to the next steps of its bankruptcy. Now according to David Selign, outside counsel for Sinclair, the staff at Sinclair expect Bally Sports to shut down after the end of the 2024 MLB season but Diamond Sports Group objected to that idea.
“To Sinclair folks who originally acquired Diamond, they’re kind of bummed, they’re bummed that this business that they put in a billion and a half of equity value in, is now going to be shut down,” David Selign Sinclair’s outside counsel said during the hearing according to a report from Awful Announcing. “There’s going to be people losing their jobs…Diamond’s business is going to go away.”
Even with Bally Sports’ newly approved contract with the NBA through the 2023-2024 season may come to an end early. Per the NBA contract, if Bally Sports fails to reach a deal with Spectrum in February, the NBA can walk away from its TV contract.
Bally Sports has not announced plans to shut down in 2024. People familiar with the matter have told Cord Cutters News that Bally Sports still sees a path forward to excite bankruptcy without shutting down. A lot can change between now and the end of the 2024 MLB season. A sale, new contracts, or new funding could all result in Bally Sports remaining active, but for now, the talk in court today was of a final end for Bally Sports in 2024.
Sinclair is owed millions by Bally Sports’ parent company, Diamond Sports Group, for management fees. Diamond Sports is seeing Sinclair alleging it spent money that should have been given to them but instead used it to refund investors. Diamond’s lawyers, during the court hearing, objected to the idea they would be shutting down, according to people familiar with the hearing today. Instead, they made it clear that today’s rolling could be the start of a path from Bally Sports to excite bankruptcy.
The NBA teams Bally Sports currently has contracts with are the Detroit Pistons, Orlando Magic, Indiana Pacers, New Orleans Pelicans, Minnesota Timberwolves, Cleveland Cavaliers, Oklahoma City Thunder, Los Angeles Clippers, Atlanta Hawks, Charlotte Hornets, Memphis Grizzlies, Dallas Mavericks, San Antonio Spurs., Miami Heat, and Milwaukee Bucks.
The NHL teams that Bally Sports currently has contacts with are the Detroit Red Wings, Florida Panthers, St. Louis Blues, Minnesota Wild, Columbus Blue Jackets, Anaheim Ducks, Carolina Hurricanes, Nashville Predators, Dallas Stars, Tampa Bay Lightning, and the Los Angeles Kings.
The MLB teams that Bally Sports currently has contracts with are the Detroit Tigers, Miami Marlins, Cleveland Guardians, Kansas City Royals, St. Louis Cardinals, Cincinnati Reds, Los Angles Angels, Atlanta Braves, Texas Rangers, Tampa Bay Rays, and Milwaukee Brewers.
Cord Cutters News has reached out to Bally Sports for comment and will update our story as we learn more.