Spain’s football competition LaLiga and Dubai-based Galaxy Racer (GXR) have signed a letter of intent, paving the way for the formation of a 15-year joint venture (JV).
The joint venture aims to transform the sports league’s brand presence in the Middle East and North Africa (MENA) region and the Indian subcontinent.
GXR, founded in 2019 by Group CEO Paul Roy, is an esports, gaming and lifestyle organization with operations in the MENA region, North America, Southeast Asia, South Asia and in Europe.
The joint venture positions GXR as the local partner of LaLiga in the MENA market and the Indian subcontinent, establishing a historic first for the world of sports rights in the territories, which is expected to generate more than €3 billion in revenue.
Following the signing of the letter of intent, the parties entered into a period of exclusivity to conclude the details of the contract and the establishment of the JV. As agreed in the letter of intent, the two companies will each hold a 50% stake. The joint venture will provide LaLiga with new avenues and opportunities to increase brand presence in a key target region.
In addition, the JV will act as the media rights agency for broadcast and media rights for the MENA region and the Indian subcontinent.
🚨 Warning: LaLiga and @GalaxyRacerDxb have reached a new agreement to transform the media scene in the MENA region and the Indian subcontinent!
🔍 For more information, click on the link below…
– English LaLiga (@LaLigaEN) September 6, 2022
Paul Roy, CEO and Founder of Galaxy Racer, said: “The LaLiga brand is powerful, but its potential remains untapped among Millennials and GenZers in the MENA region and the Indian subcontinent. Our opportunity is to connect with younger audiences in a way that resonates with them. Galaxy Racer has a market reach that will help unlock this potential and make LaLiga an ambitious brand for target audiences in the region.
LaLiga chief executive Oscar Mayo added: “With the market about to enter a new era of growth, now is the right time to take our business in the region to the next level and attract the next generation of young sports fans in our competition. This historic partnership is expected to boost the popularity of La Liga and football in the MENA region and the Indian subcontinent. With Galaxy Racer’s vast experience in the region as one of the biggest transmedia powerhouses in the world, we believe they are the perfect partner to help us reach new audiences and unlock the true potential of LaLiga in the region.
“The partnership with Galaxy Racer is a major step in our international expansion strategy,” added Maite Ventura, LaLiga’s Managing Director for the Middle East and North Africa, “This agreement not only secures a bright future for the football in the MENA region and the Indian subcontinent, but also for LaLiga and our clubs.
Meanwhile, the deal will help LaLiga reach out to younger audiences through content creation and a cross-focus on gaming and esports, as well as new consumer products – from apparel to collectables. collection – and a wide range of activations ushering in a new way of thinking for the world of football and sport.
One of the highlights of the agreement is the creation of a production studio for the JV. The studio will leverage Galaxy Racer’s experience in licensing, product development and content generation, production and broadcast in the region.
Based in the UAE, the JV will comprise a team of approximately 20 people dedicated to developing the brand and securing new business opportunities, with a five-person board of directors.
The joint venture will coordinate with league delegates based in Morocco, Egypt, Qatar, Saudi Arabia, Turkey, Israel, India and the United Arab Emirates.
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