The NFL said Tuesday that it has entered into a nonbinding agreement with ESPN, the Associated Press reports. The news follows the NFL’s announcement nearly five years ago that it was seeking to sell NFL Network and other media assets.
Under the terms of the agreement, ESPN will acquire NFL Network, NFL Fantasy and the rights to distribute the RedZone channel to cable and satellite operators. The league will get a 10% equity stake in ESPN as well.
Both parties still need to negotiate a final agreement and obtain the approval of NFL owners. The agreement must also undergo regulatory approvals.
A second nonbinding agreement between the NFL and ESPN would see the NFL license to ESPN certain NFL content and other intellectual property that can be used by NFL Network and other assets that have been purchased.
