Fanatics increases bid to acquire PointsBet’s US assets

Sports merchandise giant Fanatics has raised its bid to $225 million in an effort to acquire the US assets of online gambling operator PointsBet.

The bidding war continues

This move would enable Fanatics to swiftly establish sports betting operations in the US by gaining access to a proven proprietary tech stack and market presence in 14 states.

Fanatics initially offered $150 million in May but faced competition from DraftKings, which presented a superior all-cash offer of $195 million.

However, DraftKings’ ambitions have been quashed as PointsBet shareholders are now set to vote on Fanatics’ improved offer.

Approval needed

The new deal aligns with Fanatics’ original proposal, with an additional $75 million added to the upfront consideration. The acquisition is expected to receive approval at an extraordinary general meeting.

Notably, the bidding war has generated speculation about the history between DraftKings and Fanatics, including previous talks of a merger in early 2021.