Amazon has withdrawn from a Plan already announced in January to pump $115 million in cash into bankrupt regional sports network operator Diamond Sports Group, Sports Business Journal Reports.
Last week, Diamond announced deals with the NBA and NHL to keep 13 and nine teams from each league, respectively, on its Bally Sports channels through the 2024-25 season. And after passing a Major hurdle in pay-TV broadcasting with Comcast Late last month, it seemed as if Diamond now had everything it needed to finally put its Chapter 11 restructuring behind it, regardless of Amazon’s decision.
Read also: Everything you need to know about the bankruptcy of Bally Sports
Amazon has announced its intention to invest in Diamond before It signed a national TV contract with the NBA worth $1.93 billion per season … and even before it signed a deal with Rogers Communications to sublicense NHL Monday night games in Canada.
Amazon had viewed Bally Sports as an entry into both leagues.
Meanwhile, Diamond’s position in the NBA and NHL has also worsened.
Going forward, the NBA’s Dallas Mavericks and New Orleans Pelicans will no longer be part of the RSN as both franchises refused to limit their rights. Some NBA teams agreed to reduce rights fees by as much as 40% to keep Bally Sports and Diamond solvent.
Meanwhile, the NHL’s Florida Panthers and Dallas Stars also recently left their respective Bally Sports channels.
