Diamond Sports Group, the bankrupt owner of local sports channels, is racing to formulate a chapter 11 exit plan before professional basketball and hockey resumes so it can reassure the leagues, teams and fans that it’s ready to broadcast upcoming games, Bloomberg News reported. Diamond intends to broadcast the upcoming slate of National Basketball Association and National Hockey League games. But it needs to reach a resolution on its path through bankruptcy quickly to show the leagues that it’s prepared to do so, Diamond lawyer Brian Hermann said during a Friday court hearing. “I don’t think anybody has to remind us of the clock,” Hermann said. “The management team and board are very well aware of it and it’s what is animating their every action, every day.” The broadcaster, which owns the Bally Sports brand of television channels, brokered a deal with senior lenders and creditors before the hearing that extends the company’s exclusive right to submit a bankruptcy exit plan to Sept. 30. The NHL has been having constructive discussions with Diamond on what its business relationship with the broadcaster will be going forward, said Shana Elberg, a lawyer for the league. There’s a risk that an agreement may not come together and it’s critical the NHL has certainty with Diamond before the start of the 2023-2024 season, she said. The league’s pre-season starts on Sept. 23 and regular season starts on Oct. 10.
