Report: DraftKings to Acquire SBTech
DraftKings is reportedly close to acquiring online gaming and sports betting company SBTech. Details of the deal were not released but an acquisition would give the daily fantasy sports and sports-betting company its own in-house platform. The deal is likely to be worth $300 million to $500 million. DraftKings has also announced the launch of Flash Bet, a pro tennis product.
DraftKings is reportedly about to acquire online gaming and sports-betting company SBTech. The deal would give the company its own in-house sports betting platform, according to Legal Sports Report.
DraftKings did not confirm the acquisition to the website, but issued a statement saying, “It is our general policy not to discuss the specifics of any of those discussions.”
Legal Sports Report estimates the deal would likely be worth from $300 million to $500 million.
SBTech is an international company that provides both an omnichannel sports-betting platform and an online gaming platform. It is currently the platform provider for the Oregon Lottery. DraftKings is a major online sportsbook in New Jersey and is hoping to expand soon to West Virginia and Pennsylvania. It has a multi-year deal in place with Kambi, which provides the site with its New Jersey sports betting platform.
In related news, DraftKings has announced the launch of Flash Bet, a pro tennis product that it calls a faster, easier way for customers to engage in the action through live betting and instant winnings. The release was timed for the Wimbledon pro tennis tournament and is available only on the DraftKings Sportsbook. The product is exclusive to live tennis matches.
Flash Bet will allow customers to place live, in-game wagers quickly between points in a given match. Once bettors place their wagers via the Flash Bet tab on the mobile or online DraftKings Sportsbook, they will be able to view a timeline of their bet’s results and receive payouts seconds after the play is over, the company said in a press release.
“Live wagering is already widely popular today but also represents a crucial part of the customer experience and engagement tomorrow,” said Jordan Mendell, senior vice president of product research and development. “Short of playing on the court themselves, we are wholly invested in bringing our customers as close as possible to Wimbledon this year, while also giving them a taste of the lightning-quick innovations to come.”