PointsBet sells US division to Fanatics for $150m
After looking to sell its United States division for quite a while, PointsBet has recently entered an agreement with Fanatics to sell its American assets. This will include the company’s online betting and gambling operations, and will also include a license allowing Fanatics to utilize its technical solutions, including PointsBet’s platform.
Additionally, the company’s commitment to NBC Sports, which originated from a collaboration back in the summer of 2020, will be fully transferred to Fanatics as well, including all of PointsBet’s obligations and equity options.
PointsBet’s MD and Chief Executive, Sam Swanell, stated:
“While we were able to successfully deploy our offerings in the United States, its operating environment and challenges made us explore other strategic options. Through our agreement with Fanatics, we will get quite a favorable outcome for our investors while retaining our technology platform that powers our Canadian and Australian operations.”
The Chairman of PointsBet, Brett Paton, commented:
“Over the last little while, we have been exploring various strategic options for how to move forward with our United States division, and we believe that this sale to Fanatics will be the most lucrative one for our investors. It will allow us to maintain our excellent positions in the Canadian and Australian markets while offering sizable capital benefits to our stakeholders.”
The contract will be finalized once PointsBet receives shareholder approval through a vote during the upcoming stakeholder meeting that will be held sometime in June, for which the company’s board of directors has made a unanimous recommendation for investors to vote in favor of the sale.