Fantasy Sports Firms FanDuel and DraftKings Consent To Merge
Fantasy sports companies FanDuel and DraftKings consent to merge
18 November 2016
A Scottish tech firm which ended up being a major player in the US fantasy sports market is to merge with its greatest competitor.
FanDuel, which was founded in Edinburgh in 2009, has actually entered a merger arrangement with DraftKings.
The deal, which is subject to regulative approval, is anticipated to close in the 2nd half of next year.
FanDuel has offices in Edinburgh and Glasgow but moved its headquarters to New York a number of years back.
DraftKings has its headquarters in Boston.
The business offer online dream contests across professional sports in the US, Canada and the UK.
Cost cost savings
There are an approximated 57 million dream players in the US alone.
Both business have actually been dealing with regulatory and legal obstacles to their industry, with regulators in some US states ruling that fantasy sports firms' activities amounted to illegal betting.
In a joint statement on Friday, the business said that by integrating and improving resources they might "accelerate work with federal government authorities to continue to establish a standard regulative structure".
They likewise anticipate the "tactical merger of equals" to bring effectiveness and cost savings and help the combined company "accelerate its course to success".
FanDuel chief executive Nigel Eccles stated: "Being able to combine DraftKings and FanDuel presents a remarkable opportunity for us to even more innovate and disrupt the sports industry.
"While both business have accomplished much already, this transaction will produce an organization that can offer a greater variety of offerings, appealing to new users, consisting of the tens of countless season-long fantasy players that have not yet tried our products.
Fantasy sports companies FanDuel and DraftKings consent to merge
18 November 2016
A Scottish tech firm which ended up being a major player in the US fantasy sports market is to merge with its greatest competitor.
FanDuel, which was founded in Edinburgh in 2009, has actually entered a merger arrangement with DraftKings.
The deal, which is subject to regulative approval, is anticipated to close in the 2nd half of next year.
FanDuel has offices in Edinburgh and Glasgow but moved its headquarters to New York a number of years back.
DraftKings has its headquarters in Boston.
The business offer online dream contests across professional sports in the US, Canada and the UK.
Cost cost savings
There are an approximated 57 million dream players in the US alone.
Both business have actually been dealing with regulatory and legal obstacles to their industry, with regulators in some US states ruling that fantasy sports firms' activities amounted to illegal betting.
In a joint statement on Friday, the business said that by integrating and improving resources they might "accelerate work with federal government authorities to continue to establish a standard regulative structure".
They likewise anticipate the "tactical merger of equals" to bring effectiveness and cost savings and help the combined company "accelerate its course to success".
FanDuel chief executive Nigel Eccles stated: "Being able to combine DraftKings and FanDuel presents a remarkable opportunity for us to even more innovate and disrupt the sports industry.
"While both business have accomplished much already, this transaction will produce an organization that can offer a greater variety of offerings, appealing to new users, consisting of the tens of countless season-long fantasy players that have not yet tried our products.