The Cincinnati Reds and Diamond Sports Group have agreed to end their partnership, which means the Reds will now look for a new TV partner to broadcast their local games.
The Reds were part owners of what is now called FanDuel Sports Network Ohio. FanDuel took over the naming rights for Diamond’s 16 regional sports networks last month, after Diamond had an agreement with Bally Sports since March 2021.
According to the settlement, the Reds owned a 20% stake in the network. Diamond Sports will buy back this stake from the Reds for $1.
It is expected that Major League Baseball (MLB) will take over the production and distribution of Reds games next season. MLB is already set to handle broadcasting for at least six other teams in 2025, including San Diego, Arizona, Colorado, Cleveland, Milwaukee, and Minnesota.
The Texas Rangers are still deciding their broadcast options for next season after announcing last month that they will not renew their deal with Diamond.
The Reds’ filing came after both MLB and the Atlanta Braves filed objections to Diamond Sports Group’s plan for reorganizing its business.
Diamond Sports has been in Chapter 11 bankruptcy proceedings in Texas since it filed for bankruptcy protection in March 2023. In a financial filing last year, the company revealed it owed $8.67 billion in debt. A final hearing on Diamond’s reorganization plan is set for Thursday.
MLB has repeatedly stated during the bankruptcy process that Diamond has not provided a solid business plan or sufficient financial records.
“Based on the current inadequate record, the Braves and MLB have grave concerns that, if the plan is approved, there is a substantial likelihood that the Debtors will find themselves once again in financial distress and/or bankruptcy court in the near future,” lawyers for the Braves and MLB said in their filing.
The Braves are the only team that did not renegotiate or amend their contract with Diamond.
Diamond has announced that it has reached a new contract with the St. Louis Cardinals and is close to finalizing a new deal with the Miami Marlins. Both of these teams are partial owners of their regional sports networks.
Diamond is still in discussions with the Los Angeles Angels and Kansas City Royals, the other two teams with which it has joint ventures.
In 2019, Diamond Sports Group and Sinclair Broadcast Group purchased the regional sports networks from The Walt Disney Co. for nearly $10 billion. Disney was required by the U.S. Department of Justice to sell these networks in order for its acquisition of 21st Century Fox’s film and television assets to be approved.
