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The Women’s Tennis Association (WTA) has announced a strategic partnership with CVC Capital Partners, with the investment firm to invest in the elite level tour and become its commercial partner.
Contract:
- Sky News reports CVC has acquired a 20 per cent stake in the WTA Tour’s commercial business for US$150 million
- WTA chairman and chief executive Steve Simon will become the chairman of a new commercial entity, which Sky News says is provisionally called WTA Ventures, with a separate chief executive also to be appointed
- WTA Ventures will oversee the tour’s broadcasting and marketing operations
- WTA says ‘critical changes’ are planned for the tour calendar
- Partnership to focus on providing fans with more access to tennis, investing in the tour’s brands, building up player profiles, as well as providing funding for digital platforms and expanding commercial capabilities
- WTA to retain full regulatory and sporting responsibility for the women’s game as a majority owner in the partnership
Context:
The WTA receives a welcome injection of funds, having seen its finances take a hit from the pandemic. The Peng Shuai affair has also seen the cancellation of several lucrative events held in China, further impacting the WTA’s finances.
For CVC, it expands a sports investment portfolio that also includes French soccer’s Ligue 1 and Spanish soccer’s LaLiga.
Comment:
“This partnership with CVC brings experience, a network and capital to move our sport to the next level, embracing the ambition of our founding members, urging women’s tennis beyond its barriers and pioneering new standards for a more equitable and valuable sport,” said Simon.
Coming next:
The appointment of the new WTA Ventures chief executive will provide greater clarity on what the two partners hope to achieve.
