New York Times buys The Athletic: report
The New York Times has purchased sports news provider The Athletic for more than half a billion dollars, the company announced on Thursday.
The deal, valued at $550 million, is a major acquisition for the Times as it looks to beef up its digital subscriber base and audience heading into the new year.
“Acquiring The Athletic puts us in a position to be a global leader in sports journalism and offer English speakers around the world another reason to turn to the Times Company to meet their daily news and life needs,” said Meredith Kopit Levien, president and CEO of the Times. “The Times already provides distinctive sports coverage for a general interest audience as part of our core report.
The Athletic will remain a stand-alone product, Times executives said, enabling the outlet to provide “extensive coverage for fans who seek a deep connection to and understanding of their favorite teams, leagues and players.”
“With one of the largest dedicated teams of reporters covering sports globally and a commitment to everyday reporting, The Athletic is a great complement to The Times,” Kopit Levien said.
News of the deal was first reported by The Information on Thursday.
The Athletic brought in $47 million in revenue in 2020 while burning $41 million, the Information reported, and projected 2021 revenue would jump to $77 million.
Rumors of a deal between the Times and The Athletic first started last year.
The Athletic has taken the sports media world by storm in recent years, hiring top talent away from local newspapers and broadcasters. The outlet also does not rely on advertising for revenue, and the company previously stated it had more than 1 million subscribers.
“We started The Athletic to bring fans closer to the teams, players and leagues they love through deep, immersive journalism and storytelling,” investors Alex Mather and Adam Hansmann, who founded The Athletic in 2016, said in a statement issued Thursday.
“When we founded the company, we hoped to become the sports page for every city in the world. We’re excited to continue serving our avid subscribers as we grow and scale with the help of the most important journalistic organization and the leader in digital subscription news.”
In November, the Times announced it had gained nearly half a million digital subscribers in the third quarter of 2021. It has previously stated that it’s aiming to hit 10 million subscribers by 2025. It now has more than 8 million paid subscriptions across digital and print products.
The deal is expected to officially close during the first quarter of 2022.
Updated: 4:38 p.m.