Setanta Gets Cash Boost To Fund Rights Spree

Setanta Sports has raised £90m from its financial backers to fund the acquisition of further sports TV rights including a new deal for all of England’s away World Cup qualifying games.

Setanta has raised the cash injection from issuing shares to private equity companies Doughty Hanson and Balderton Capital, along with investment bank Goldman Sachs, which already backs the Irish broadcaster.

Setanta has also issued shares to senior executives for the first time meaning that founders Michael O’Rourke and Leonard Ryan and their management team now own more than 20% of the company.

The broadcaster plans to spend the money on buying up further rights to England international and FA Cup games which is sees as crucial if it is to take on rival Sky Sports.

Setanta is expected to run at a loss until mid 2009 after buying up live Premier League games in a multi-million pound contract.

Setanta currently has around 400,000 UK subscribers which it hopes to increase to 1m next year by cutting subscription rates and contract lengths.