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Fantasy sports companies FanDuel and DraftKings agree to combine

18 November 2016

A Scottish tech firm which became a major player in the US fantasy is to merge with its biggest competitor.

FanDuel, which was founded in Edinburgh in 2009, has entered a merger contract with DraftKings.

The deal, which goes through regulative approval, is expected to close in the 2nd half of next year.

FanDuel has offices in Edinburgh and Glasgow but moved its headquarters to New york city a number of years earlier.

DraftKings has its headquarters in Boston.

The business use online dream contests throughout expert sports in the US, Canada and the UK.

Cost savings

There are an approximated 57 million dream players in the US alone.

Both business have actually been dealing with regulative and legal obstacles to their industry, with regulators in some US states ruling that fantasy sports firms' activities totaled up to illegal gambling.

In a joint statement on Friday, the companies said that by combining and streamlining resources they could "accelerate work with government officials to continue to establish a basic regulative structure".

They likewise expect the "tactical merger of equates to" to bring performances and expense savings and assist the combined company "accelerate its path to success".

FanDuel chief executive Nigel Eccles stated: "Being able to combine DraftKings and FanDuel provides a tremendous chance for us to even more innovate and interfere with the sports industry.

"While both companies have actually achieved much currently, this promotion code transaction will create a service that can bet9ja's welcome offer a higher range of offerings, attracting new users, consisting of the tens of millions of season-long dream gamers that haven't yet tried our items."

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FanDuel

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