ESPN has sold a majority stake in the X Games — its 27-year-old extreme sports event franchise — to private-equity firm MSP Sports Capital.
Financial terms of the deal were not disclosed. MSP will assume day-to-day operational control of the X Games business, which will spin off from ESPN. ESPN Productions Inc. will retain a minority, non-controlling stake in X Games, and ESPN will continue to serve as the U.S. linear broadcast partner as part of a multiyear agreement inked in conjunction with the transaction.
“We’re proud of what we’ve created with our employees and the athletes over nearly 30 years of world-class X Games events and content,” Jimmy Pitaro, chairman, ESPN and Sports Content at Disney, said in a statement. “We now look forward to an exciting next chapter with MSP Sports Capital, which has a proven track record of excellence in sports and a dynamic vision for the continued growth and progression of the industry-leading action sports brand.”
With the deal to take over X Games, MSP Sports Capital recruited Steven Flisler to be CEO of X Games. Flisler most recently served as VP of original content at Twitch and executive producer of Twitch Rivals, streamer-vs.-streamer esports competition series, since 2018. He also held leadership positions at NBCUniversal for more than a decade, producing live broadcasts across linear and streaming platforms.
Flisler, who officially starts Monday, Oct. 31, as X Games’ CEO, said about the new gig, “It’s an opportunity of a lifetime for me… It merges competition, storytelling, technology and innovation — it’s been what I’ve been chipping away at all my career.”
While ESPN and ABC will continue to air the X Games on traditional TV, the new X Games company has rights to cut new digital and streaming distribution deals starting with X Games Aspen 2023 from Jan. 27-29. Going forward, X Games will likely work with Twitch and YouTube on a free livestreaming distribution model, according to Flisler. “There’s an incredibly strong legacy with the brand, but the growth hasn’t been as aggressive as the brand could be,” he said. “There’s a younger generation hungry for content like this.”
MSP Sports Capital CEO Jeff Moorad, who founded the firm with Jahm Najafi, said the company’s goal is to reimagine the X Games with unique fan experiences, an expanded calendar and increased access to the world’s premier athletes. “Inside ESPN, it was limited in terms of the flexibility and growth potential, so I think Disney and ESPN appropriately looked for the next steward of the brand,” Moorad said.
Tim Reed, ESPN’s VP of programming and acquisitions, has overseen the creative development and day-to-day operations of the X Games franchise since 2014. Reed will remain at ESPN and will “continue to be a partner to us,” Flisler said.
In addition, legendary pro skateboarder Tony Hawk will join the X Games investor group as a “brand steward.” “Skateboarding is part of my DNA and I support a community where change and advances in action sports is happening on a daily basis,” Hawk said in a statement. “Being part of the advisory board for X Games is an extension of my decades of competing and much more forgiving to the body, and I look forward to being constantly inspired by so many incredible athletes.”
ESPN founded the X Games in 1995, pioneering action sports entertainment by introducing audiences to televised competitions in skiing, snowboarding, Moto X, BMX freestyle, skateboarding and more.
For New York-based MSP Sports Capital, the X Games marks the sixth investment in its portfolio, which includes investments in McLaren Racing and four European soccer teams: Agrupación Deportiva Alcorcón (Spain), G.D. Estoril Praia (Portugal), FC Augsburg (Germany) and S.K. Beveren (Belgium).
Pictured above: Tony Hawk at the 2015 X Games Austin
