CNBC reports that the Professional Fighters League is looking to raise money in order to expand overseas. The promotion cancelled its 2020 season but intends to return in 2021 with an expansion in its operations.
The PFL is a single-entity league which is controlled by investors is looking for a third round of funding. It has raised $105 million since its acquisition in 2016 which includes $28 million in Series B in 2018 and $50 million in Series C in January 2020 according to Crunchbase. Entertainer Kevin Hart and TV producer were among the investors in the Series C round. It is looking for another $50 million in this latest round.
If there are no live crowds in 2021, the PFL will move to a “bubble” similar to the ones done by pro sports teams as well as Bellator and the UFC.
In addition, the article notes that it will be looking to bolster its data analytics for its over the top platform it recently announced. The analytics will be developed to facilitate a sports betting partnership.
The expansion will look to multiple international outlets but there is a focus on Saudi Arabia which is seeking to build tourism coupled with a campaign to steer its economy away from a dependency on oil.
Payout Perspective: One of the things that the article touches on is the incredible market share that the UFC has on the MMA market. Although not discussed, this creates an obstacle for investors as the UFC overshadows all other promotions in the market. On the bright side, it creates a possible opportunity for PFL if it can take advantage of the interest in the sport of MMA and differs from the UFC. The regular season and playoff aspect of the PFL creates a meritocracy of who wins the ultimate prize in the playoffs which may appeal to the casual fans. The challenge is building a story around the fighters to follow them throughout a season. With the uncertainty of the economic market, it will
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