SPORTS BETTING
Australia – Pointsbet board ‘unanimously recommends’ Fanatics Betting and Gaming’s for its US business
By Phil - 3 July 2023
The board of PointsBet has unanimously recommended Fanatics Betting and Gaming’s
(FBG) improved proposal of US$225m to acquire PointsBet’s US Business, representing a 50 per cent or US$75m increase to the prior bid.
DraftKings was unable to finalise a binding offer by June 27 and ‘accordingly the Board has determined that the FBG Transaction, as improved by the above-stated amendment, is superior in terms of both pricing and certainty of being able to complete on a timely basis.’
PointsBet Chairman Brett Paton said: “The improved proposal delivers PointsBet shareholders a 50 per cent or US$75m increase to the acquisition price originally agreed with Fanatics Betting and Gaming. Following the receipt of a non-binding indicative offer for our US Business from DraftKings on 16 June 2023, the PointsBet team entered negotiations with both parties.
The Board unanimously supports the improved proposal from Fanatics Betting and Gaming, which provides a superior price plus certainty. Fanatics Betting and Gaming conducted their diligence process and negotiations in a highly professional manner at all times. The offer to “front end” the additional consideration is an element which we regarded as a welcome and significant benefit to our shareholders.
Subject to shareholder and regulatory approvals, 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.”
