- 01 Sep 2022
- ICICIdirect Research
Zee Entertainment signs exclusive TV rights agreement for ICC events with Disney StarZEEL - 216 Change: 1.50 (0.70 %)
News: Zee Entertainment and Disney Star have signed a strategic licensing agreement for exclusive TV rights of ICC Men’s cricket tournaments. As part of the agreement, Disney Star will license the television broadcasting rights of the International Cricket Council’s (ICC) men’s and Under 19 (U-19) global events for four years (2024-27) for an undisclosed amount to Zee. Disney Star will continue to be the exclusive home for streaming of all ICC tournaments through its digital platform - Disney+ Hotstar. ICC has in-principle approved this arrangement.
View: The deal will enable re-entry of Zee in big league sporting event, as stated by the management earlier and will boost overall network viewership market share. As stated above, the deal details such as amount to be paid, etc, have not been shared. The company has also not divulged revenue potential. We believe the viewership of sports on TV/pricing potential will be the key determinant of profitability/margins from this move, which we believe may be lower than entertainment segment.