Coral Tree Partners, the sports, media, and entertainment-focused private equity firm, has become the new majority owner of DMC Production after investing over €50 million in the Sweden-based company.
As part of the deal, Coral Tree’s founding partner Alan Resnikoff will join the sports production company’s board of directors and serve as lead investor.
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In connection with Coral Tree’s investment, Greg Brown, the former president and CEO of college sports-focused media rights company Learfield Sports, will also join DMC’s board.
Until now, the company has been primarily financed by Swedish investment company Stena Adactum and sports and media entrepreneur Jonas Persson.
DMC stated that the strategic partnership strengthens its position in the industry “while providing the financial and operational resources needed to drive future expansion and long-term success.”
The company, which specializes in remote broadcast production, is led by industry veteran Paul Heitmann, who previously served as the president of NEP Europe. He will remain CEO, backed by the existing management team.
DMC has recently been expanding across multiple markets, establishing centralized production hubs in Oslo, Hilversum, Copenhagen, Stockholm, and Helsinki in the last two years.
The original founders of DMC – Persson, Daniel Franck, and Johan Hedblom – will remain shareholders in the company.
Resnikoff said: “We could not be more excited to partner with Paul, Jonas, and the team to build out the next generation of sports production. With the rising cost of sports rights, and streaming platforms seeking turnkey solutions, we believe DMC’s dynamic, cost and environmentally friendly approach will continue to resonate with the market.”
Heitmann added: “We are excited to bring Coral Tree on as a new partner in DMC’s growth. Their experience in US and international sports markets combined with the strong cultural connection between our organizations make them the perfect partner for us.”
DMC Production has outlined an ambitious growth plan to be executed over the coming years in partnership with Coral Tree.
The Los Angeles-based investment firm has approximately $500 million in capital under management.
Through its financial commitment, Coral Tree will fund DMC’s growth capital expenditures and acquire a portion of Stena’s shareholdings in a secondary capital transaction.
Stena Adactum will retain a minority shareholder position and continue to support DMC as needed.
