BT Regulatory News (BT.A)

22 July 2022

BT GROUP AND WARNER BROS. DISCOVERY WELCOME CMA'S APPROVAL OF THE BT SPORT AND EUROSPORT UK JOINT VENTURE

Following submission to the Competition and Markets Authority (CMA), BT Group and Warner Bros. Discovery today welcomed the decision to approve the BT Group agreement with Warner Bros. Discovery, Inc. to form a 50:50 Joint Venture (JV) company that will create a new sports offering for the UK & Ireland.

The CMA's decision now allows BT and Warner Bros. Discovery to complete the creation of the JV  in the coming weeks and for each of their assets to be transferred into the new company. BT Sport and Eurosport UK will be brought together to form a sports joint venture for customers, providing the JV with one of the most extensive portfolios of sports rights in the UK & Ireland. Both BT Sport and Eurosport UK will initially retain their separate brands and product propositions in the market before being brought together under a single brand in the future. 

Marc Allera, future Chairman of the JV and CEO BT's Consumer division said "It's great news that the CMA has approved the new JV that we are forming with Warner Bros. Discovery, combining the very best of BT Sport and Eurosport UK, to create an exciting new offer for live sport programming in the UK. Today is a huge milestone, as we now look toward day one of the new business, which we hope to be in the coming weeks."

Andrew Georgiou, future board member of the JV and President and Managing Director, Warner Bros. Discovery Sports Europe, said "Combining the capabilities, portfolios and scale of BT Sport and Eurosport UK will be a big win for fans in the UK & Ireland, offering a new destination that will feature all the sport they love in one place. We now look forward to closing the transaction and having the opportunity to further engage all stakeholders in the process of forming and developing the JV."

The Board of Directors of the JV will be equally represented between appointees of British Telecommunications plc and Warner Bros. Discovery. The first Chairperson to be appointed, nominated by each shareholder on a rotating basis, will be Marc Allera, CEO BT's Consumer division. The new management and delivery of the JV will be led by Andrew Georgiou, President and Managing Director, Warner Bros. Discovery Sports Europe, who will be a member of its board.

ENDS

About BT Group

BT Group is the UK's leading provider of fixed and mobile telecommunications and related secure digital products, solutions and services. We also provide managed telecommunications, security and network and IT infrastructure services to customers across 180 countries.

BT Group consists of four customer-facing units: Consumer serves individuals and families in the UK; Enterprise and Global are our UK and international business-focused units respectively; Openreach is an independently governed, wholly owned subsidiary, which wholesales fixed access infrastructure services to its customers - over 650 communication providers across the UK.

For the year ended 31 March 2022, BT Group's reported revenue was £20,850m with reported profit before taxation of £1,963m.

British Telecommunications plc is a wholly-owned subsidiary of BT Group plc and encompasses virtually all businesses and assets of the BT Group. BT Group plc is listed on the London Stock Exchange.

For more information, visit www.bt.com/about

About Warner Bros. Discovery

Warner Bros. Discovery (NASDAQ: WBD) is a leading global media and entertainment company that creates and distributes the world's most differentiated and complete portfolio of content and brands across television, film and streaming. Available in more than 220 countries and territories and 50 languages, Warner Bros. Discovery inspires, informs and entertains audiences worldwide through its iconic brands and products including: Discovery Channel, discovery+, CNN, DC, Eurosport, HBO, HBO Max, HGTV, Food Network, Investigation Discovery, TLC, TNT, TBS, truTV, Travel Channel, MotorTrend, Animal Planet, Science Channel, Warner Bros. Pictures, New Line Cinema, Cartoon Network, Adult Swim, Turner Classic Movies and others. For more information, please visit www.wbd.com

About Warner Bros. Discovery Sports

Warner Bros. Discovery Sports Europe represents WBD's portfolio of sports brands, channels and platforms in Europe. It collectively reaches 130 million people every month, engaging fans and broad audiences in more than 200 markets and in over 20 languages across all platforms where consumers are spending time -free-to-air TV, pay-TV, streaming, online and social. Warner Bros. Discovery Sports Europe includes the much-loved consumer brands Eurosport, Global Cycling Network (GCN), Global Mountain Bike Network (GMBN), Golf Digest and GOLFTV powered by PGA TOUR, as well sports programming and content on discovery+ and Discovery's free-to-air TV networks. They connect audiences with the greatest sporting events in the world. This includes being the Home of the Olympics Games in Europe; tennis' Grand Slams; cycling's Grand Tours, more than 600 cycling broadcasts per year and the UCI Track Champions League; the PGA TOUR year-round; the best new and existing electric racing series with ABB FIA Formula E World Championship and FIA eTouring Car World Cup; and every major winter sports World Championship and World Cup event. Warner Bros. Discovery Sports Europe completes a full 360° offer with its events management and promotion arm, Discovery Sports Events.

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