DraftKings Submits Superior Proposal To Buy PointsBet's U.S. Business

(RTTNews) - Gaming company DraftKings Inc. (DKNG) announced Friday that it has submitted an indicative superior offer to acquire PointsBet Holdings Ltd.'s U.S. business in an all-cash transaction with a purchase price of $195 million.

The offer includes the proposed acquisition of the U. S. online sports betting, iGaming and retail sportsbook business of PointsBet.

PointsBet is currently party to a Stock and Equity Sale Agreement with Fanatics Betting and Gaming for the sale of the US Business.

DraftKings said its proposal represents a 30% premium to PointsBet's existing agreement to sell its U.S. business and is subject to certain conditions.

Jason Park, DraftKings' Chief Financial Officer, said the company expects the deal to increase its adjusted EBITDA potential in 2025 and beyond and not impact its expectations of achieving positive Adjusted EBITDA in 2024.

Jason Robins, DraftKings' Chief Executive Officer and Co-founder, said, "While we continue to focus on operating more efficiently and driving substantial organic revenue growth in the United States, we will also look to prudently capitalize on compelling opportunities at attractive valuations, as is the case with PointsBet's U.S. Business."