Sports

Atrium Sports buys sports analytics provider Synergy to create $100 million sports data and AI company

Key Points
  • Popular sports analytics provider Synergy Sports Technology was acquired by Atrium Sports, the companies announced Monday.
  • The combination creates a company with a combined value of $100 million, according to a person familiar with negotiations.
  • The deal will allow Synergy to access Atrium's platform of comprehensive data and advanced automated video production, create new content and offer more commercial opportunities.
LeBron James of Los Angeles Lakers (R)
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Advanced sports technology company Atrium Sports has acquired Synergy Sports Technology, one of the leading providers in statistics and analytics, the companies announced Monday.

Details of the acquisition weren't disclosed, but the deal creates a company with a combined value of $100 million, according to a person familiar with negotiations.

Synergy, which is known through the sports world, provides clients such as the National Basketball Association, Major League Baseball and NCAA Division I-II-III, with in-depth performance stats and analytics. The deal will allow Synergy to access Atrium's platform of comprehensive data and advanced automated video production, create new content and offer more commercial opportunities.

"Synergy Sports is relied on by virtually every elite and semi-elite basketball team worldwide, and we're delighted for them to join the Atrium Sports family," Nick Maywald, Atrium's chairman, said in a statement. "Combining their technology with our autonomous video production creates exciting opportunities to simplify workflow for coaches and analysts and accelerates the development of how AI can benefit sports."

The deal would include an additional $60 million backed by Eldridge Industries, Elysian Park Ventures, Atrium executives and Atrium and Synergy Sports shareholders. The funds will be used to expand Atrium's artificial intelligence capabilities, the person said.

"Having proven our true value in the basketball industry, we're now excited to be working closely with other sports, like baseball and hockey, alongside a partner that shares our passion to develop sports through innovation in technology," Synergy Sports CEO Mark Silver said in a statement. "The backing of Eldridge Industries and Elysian Park Ventures is ideally placed to continue to accelerate our growth worldwide."

Under the deal, Synergy will retain its product and service offerings under Atrium's platform umbrella. Synergy will also keep its name.

The transaction comes months after Atrium announced a partnership with the International Basketball Federation to produce FIBA Connected Stadium, which allows the company to "capture, enhance, produce and distribute live video content," according to its August announcement.

Investment bank Inner Circle Sports served as a financial advisor to Synergy Sports in the transaction.

CORRECTION: This article was updated to correct the value of the deal. The combined company will be worth $100 million.