Fantasy sports firms FanDuel and DraftKings concur to merge
18 November 2016
A Scottish tech company which ended up being a significant player in the US fantasy sports market is to combine with its most significant competitor.
FanDuel, which was founded in Edinburgh in 2009, has gotten in a merger contract with DraftKings.
The transaction, which goes through regulatory approval, is expected to close in the yohaig code second half of next year.
FanDuel has offices in Edinburgh and Glasgow however moved its headquarters to New york city a number of years ago.
DraftKings has its head office in Boston.
The companies use online dream contests throughout professional 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 been dealing with regulative and legal difficulties to their industry, with regulators in some US states ruling that fantasy sports companies' activities amounted to unlawful gambling.
In a joint statement on Friday, the business stated that by integrating and streamlining resources they could "speed up deal with federal government officials to continue to develop a basic regulative structure".
They likewise anticipate the "strategic merger of equals" to bring efficiencies and expense savings and help the combined company "accelerate its path to profitability".
FanDuel chief executive Nigel Eccles said: "Being able to combine DraftKings and FanDuel presents an incredible opportunity for us to further innovate and interfere with the sports market.
"While both business have actually accomplished much already, this promotion code deal will develop a business that can provide a higher variety of offerings, appealing to new users, consisting of the tens of countless season-long dream players that have not yet tried our items."
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