Media & Telecom

ESPN explores sports-betting deal worth at least $3 billion - WSJ

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The ESPN logo is seen on an electronic display in Times Square in New York City, U.S., August 23, 2017. REUTERS/Mike Segar

Aug 27 (Reuters) - Walt Disney Co's (DIS.N) ESPN is looking to license its brand to major sports-betting companies for at least $3 billion over several years to take advantage of the booming online betting industry, the Wall Street Journal reported on Friday.

It held talks to license its brand to sportsbooks including Caesars Entertainment (CZR.O) and DraftKings (DKNG.O), the report said, adding there is no guarantee that it will reach a deal.

The companies did not immediately respond to requests from Reuters for comment.

It remains unclear whether gaming companies would want to pay for the ESPN name when they are already investing to establish their existing brands, the report said.

As more states legalize sports betting, media companies have turned to the sector to diversify their revenue. Fox Corp (FOXA.O)launched the FOX Bet sports betting platform in 2019 through a partnership with The Stars Group.

Disney shares jumped 2.1% after the news.

Reporting by Sahil Shaw in Bengaluru; Editing by Arun Koyyur

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