SBC News Voice of the Sports Betting Industry
Technology investment fund MGT Capital Investments (MGT) has confirmed the sale of daily fantasy sports operator DraftDay to newly formed business Random Outcome USA for a deal value of approximately $7 million.
DraftDay, who are currently the third biggest US daily fantasy sports operator will be sold to its new venture owners, for $4 million cash and a further $3 million in future equity interest, which will be subject to performance conditions. MGT further announced that it had also attached its sports media business-to-business network as part of the acquisition deal.
Random Outcome has announced that DraftDay’s business operations will be managed by Sportech Digital a subsidiary of Sportech Plc.
Curtiss Wm. Krawetz, CEO of Random Outcome said, “Infusing a leading daily fantasy sports business with the capabilities and resources of an operator of Sportech’s caliber creates the dominant business-to-business player in the DFS space.”
Rich Roberts, President of Sportech Digital stated, “A focused daily fantasy sports business to be delivered on a B2B partnership basis to the regulated gaming industry has the potential to quickly disrupt the rapidly growing market.”
