LaLiga, Spain’s soccer competition, 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 JV 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 a presence in the MENA region, North America, Southeast Asia, South Asia and Europe.
The JV positions GXR as LaLiga’s local partner in the MENA market and the Indian subcontinent, establishing a historic first for the world of sports rights in the territories, projected to generate more than EUR3bn in revenue.
Following the signing of the Letter of Intent, the parties entered into an exclusive period to finalize the details of the contract and the establishment of the JV. As agreed in the Letter of Intent, both firms will each have a 50 percent stake. The JV will offer LaLiga new avenues and opportunities to increase brand presence in a key target region.
Additionally, the JV will act as the media rights agency for broadcast and media rights for MENA and the Indian subcontinent.
? Attention: LaLiga and @GalaxyRacerDxb They have reached a new agreement to transform the media scene in the MENA region and the Indian subcontinent!
? For more information, click on the following link…
— English LaLiga (@LaLigaES) 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 GenZ in the MENA region and the Indian subcontinent. Our opportunity is to connect with a younger audience in a way that resonates with them. Galaxy Racer has a market reach that will help unlock that potential and elevate LaLiga into an aspirational brand for the target audience in the region.”
LaLiga CEO Oscar Mayo added: “With the market poised to enter a new era of growth, this is the right time to take our business in the region to the next level and attract the next generation of young football fans. sport to our competition. This historic partnership is set to boost the popularity of LaLiga and football in MENA and the Indian subcontinent. With Galaxy Racer’s extensive experience in the region as one of the world’s biggest transmedia powerhouses, we believe they are the ideal partner to help us reach a new audience and unlock the true potential of LaLiga in the region.”
“Associating ourselves with Galaxy Racer is an important milestone in our international expansion strategy”, added Maite Ventura, General Manager of LaLiga for the Middle East and North Africa. “This agreement guarantees not only a bright future for football in MENA and the Indian subcontinent, but also for LaLiga and our clubs.
Meanwhile, the deal will help LaLiga speak to younger audiences through content creation and a cross-focus on gaming and esports, as well as new consumer products, from clothing to collectibles, and a wide range of activations that they mark the beginning of a new way of thinking for the world of football and sport.
A key strength of the deal is the creation of a production studio for the JV. The studio will leverage Galaxy Racer’s expertise in licensing, product development, and content generation, production, and broadcast in the region.
Based in the United Arab Emirates, the JV will have a team of around 20 people dedicated to building the brand and securing new business opportunities, with a five-person board of directors.
The JV will coordinate with league delegates based in Morocco, Egypt, Qatar, Saudi Arabia, Turkey, Israel, India and the United Arab Emirates.
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