Fanatics Strikes Deal To Purchase PointsBet US Betting Outlet
The war for PointsBet is finally over. Fanatics and DraftKings have been vying for PointsBet for quite some time. Fanatics initially reached an agreement with PointsBet at around $150 million in the month of May. That was until DraftKings upped their offer at the last second. However, the bidding war is now over and as you can probably tell from the title, Fanatics eventually won out.
This news was first reported by the New York Post:
“The total cost of PointsBet will end up just $25 million south of The Post’s projected price point of $500 million expected for PointsBet in April, three weeks before Fanatics’ initial agreement.”
“The deal helps solidify Fanatics as a mainstay in the sports betting market, having gathered massive assets in the app’s user experience and user interface departments while acquiring expert traders to help manage its risk in the new market.”
“Fanatics is probably breathing a small sigh of relief,” one industry executive with knowledge of the situation told The Post.”
“While the company would have been fine without the acquisition, moving faster in the current environment is likely better, and the PointsBet deal allows Fanatics to move at maximum speed.”
It should also be mentioned that Michael Rubin’s new company now has access to a bunch of key states with this deal. New York, New Jersey, Pennsylvania, Colorado, Illinois, Indiana, Kansas, Louisiana, Michigan, Virginia, and West Virginia are all included with the deal since PointsBet is already approved in those states.
PointsBet’s four-year $250 million advertising deal with NBC also played a factor. Lead betting expert Jay Croucher has made multiple appearances on NBC programs. That alone raised the price of this deal.
Michael Rubin is building a hell of an empire for himself. Talk about the American dream. That guy is living it.
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