ENDEAVOR TO ACQUIRE OPENBET FROM SCIENTIFIC GAMES IN $1.2B DEAL

Endeavor Group Holdings, the NYSE-listed global sports and entertainment company, has agreed to acquire content, platform, and service provider OpenBet from Scientific Games Corporation for US$1.2 billion. 

OpenBet has more than 1,000 team members around the world, and focuses exclusively on licensed customers and regulated gaming markets. Its clients include top-tier sportsbooks like DraftKings, FanDuel, WynnBet, SkyBet, Ladbrokes, and William Hill. 

Specialising in betting engine technology, the company processed around three billion bets in 2020, and also offers trading, pricing, and risk management tools; player account and wallet solutions, front-end UX and UI; and content offerings including BetBuilder, DonBest pricing feeds, and a sports content aggregation platform. 

According to Endeavor, the acquisition will complement its position within the sports betting ecosystem, currently anchored by IMG ARENA, which works with over 470 sportsbook brands around the world, delivering official live streaming video and data feeds for more than 45,000 sports events per year. 

“OpenBet marks a strategic addition to our sports betting portfolio as we look to round out our technology and product offering for sportsbook operators and sports brands worldwide,” remarked Ariel Emanuel, CEO, Endeavor. “The combination of OpenBet and our IMG ARENA business will enable us to expand our footprint across the entire sports betting value chain and further capitalize on the tremendous upside we see coming from this fast-growing global industry.”

“This transformational announcement combines OpenBet’s market-leading sports betting ecosystem with unparalleled access to sports rights, content and data across the Endeavor portfolio,” said Jordan Levin, Chief Executive of Scientific Games’ Digital business. “Together, we are uniquely positioned to define the future of sports betting entertainment. Putting our customers and their players at the heart of our product and technology innovation will remain the key to our ongoing success. The team at OpenBet is second to none and we’re laser focused on the rapid expansion of the global sports betting market. Ari’s leadership and vision for the entertainment industry is exceptional and this is supported by Scientific Games’ commitment to Endeavor through the stock component of this deal.”

The transaction will see Endeavor pay Scientific Games $1 billion in cash and $200 million of Endeavor’s Class A common stock, and is expected to close in the second quarter of 2022, subject to regulatory consents and approvals, and customary closing conditions.