Fanatics, a sports platform company, revealed late Tuesday that it has increased its offer for PointsBet’s US business by 50% to $225 million, outbidding Draftkings Inc (NASDAQ:DKNG)’s non-binding offer of $195 million.
The PointsBet board unanimously recommended the sale to Fanatics, after DraftKings reportedly was “unable” to finalize a new bid before the deadline, Sportico.com reported.
Should the deal be formally approved by PointsBet shareholders and regulators, it will give Fanatics much needed US real estate in the 15 US states where they operate, according to CNBC.
“Our US team will have a strong future as part of the Fanatics Betting and Gaming group and PointsBet will build on the opportunities in Australia and Canada underpinned by a strong balance sheet,” PointsBet chairman Brett Paton said in a statement.
DraftKings CEO Jason Robins previously told CNBC that while the deal wouldn’t have been transformative for DraftKings, it would allow the company to grow market share.
PointsBet is the seventh-largest US sports betting operator.
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