Sports betting company DraftKings (DKNG) Has agreed to acquire Golden Nugget Online Gaming in an all-stock transaction valued at approximately US$1.56 billion.
New transaction It will create cross-selling opportunities and allow the fantasy sports business to further expand DraftKings’ influence in the online gambling market.
Acquisition It is expected to form a new holding company with DraftKings and Golden Nugget, which also owns Landry’s LLC portfolio.
By transferring Golden Nugget to King of Drafts‘Modern system. Golden Nugget is owned by Tilman Fertitta, CEO of Landry’s LLC.
“Our acquisition of Golden Nugget Online Gaming, a brand synonymous with iGaming and entertainment, will enhance our ability to instantly reach a wider consumer base, including Golden Nugget’s loyal’iGaming-first’ customers,” said Jason Robins, CEO of DraftKings A statement.
“This transaction creates meaningful synergies, such as increased company consolidated revenue driven by additional cross-selling opportunities, loyalty integration and technology-driven product expansion, as well as technology optimization and higher marketing efficiency. We look forward to Tillman becoming An active member of our board of directors and one of our largest shareholders.”
As part of the agreement, Golden Nugget Online Gaming shareholders will receive 0.365 shares King of Drafts Every stock they hold.
Fertitta said: “As the two market leaders merge to become a global leader in digital sports, entertainment and online games, this transaction will bring great value to shareholders.”
The transaction is expected to be completed in the first quarter of 2022.
As of 1:32 PM Eastern Time on Monday, DraftKings’ stock price was US$51.67, up US$0.08 or 0.16%.
Photo: Lucas Jackson/Reuters
