Entain Release Second Statement on DraftKings €19.1 Billion Takeover Bid Following Media Speculation

by Ciaran McEneaney - Wednesday, September 22nd, 2021 8:37

Entain has released a second statement following intense media speculation following a confirmed takeover bid by DraftKings. The second statement from the sports betting and gaming group confirms that it had rejected an initial offer from DraftKings and that a second improved offer was now under consideration.

The statement also confirmed that the first offer saw DraftKings value the group at 2,500 pence (£25/€29) per share. This offer was immediately rejected and a new offer of 2,800 pence (£28/€32.56) per share was then tabled. The new offer consists of 630 pence (£6.30/€7.32) in cash with the balance payable in DraftKings Class A common shares. The second offer worth an estimated £16.4 billion (€19.1 billion) was made on the 19th September and has been under consideration since.

In the statement the group assured shareholders that a decision would made soon:

“The Board of Entain will carefully consider the proposal and a further announcement will be made as and when appropriate. Shareholders are urged to take no action at this time.”

In a previous statement released earlier yesterday, Entain noted:

“The board of Entain strongly believes in the future prospects of the company underpinned by its leading market positions, world-class management team and industry-leading technology, The company has a strong track record of growth and runway for further significant growth as set out in the capital markets day on 12th August, with the potential for its total addressable market to grow by more than three times to $160bn.”

DraftKings has yet to release a statement or comment on the takeover bid.

Ciaran McEneaney

Ciaran has a decade of experience writing for some of the biggest names in the eSports, poker, and casino industries.