DraftKings makes offer to acquire PointsBet U.S. business, tops Fanatics bid

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The company delivered a letter to PointsBet’s management. The offer represents a 30% premium to PointsBet’s existing agreement to sell its U.S. business to Fanatics, which has agreed to buy the Australian company’s U.S. operations for $150M.

“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,” said Jason Robins, DraftKings’ Chief Executive Officer and Co-founder.

He added: “We believe DraftKings is uniquely positioned to submit this superior proposal due to our scale and corresponding ability to generate meaningful synergies from the acquisition.”

DraftKings said in its letter to PointsBet that it is convinced its offer “presents a superior financial outcome for PointsBet shareholders” as well as a “truly compelling opportunity” for the parties involved.