1. #1
    Mr KLC
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    Draft Kings And Fanduel Agree To Merger

    DraftKings and FanDuel, the two largest daily fantasy sports operators, have agreed to merge, the companies announced Friday.

    The merger, pending regulatory approval, is expected to close in the second half of 2017. Until then, both sites will continue to operate under their respective brand names.

    Terms of the agreement were not disclosed, but sources close to the negotiations told ESPN that it is basically a 50/50 split between the fantasy giants. Each company will have three seats on the board, with one independent director. At closing, DraftKings CEO Jason Robins will be the CEO of the new company, while FanDuel CEO Nigel Eccles will become the chairman of the board.

    The merger is expected to draw scrutiny, potentially from the Federal Trade Commission. FanDuel and DraftKings make up more than 80 percent of the daily fantasy marketplace, but they are looking to pool their resources to grow their customer base by tapping into the much larger season-long market, a source privy to the companies' strategy told ESPN. An estimated 40 million North Americans play only season-long fantasy sports, eight times more than the number of those who play daily fantasy.

    The benefit of the merger to the consumer, an important test for regulators, will be increased overall competition in the marketplace, the source said. The source added that DraftKings and FanDuel will work together in a streamlined fashion to conquer regulatory hurdles, which have hampered both businesses. They believe it could further open the fantasy market to entrepreneurship.


    http://www.espn.com/chalk/story/_/id...el-agree-merge

  2. #2
    ttwarrior1
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    boo

  3. #3
    daneblazer
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    Two poorly operated companies merging. What could possibly go wrong

  4. #4
    Mr KLC
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    Daily fantasy powers DraftKings and FanDuel have called off their planned merger, the two companies announced Thursday.

    The two sites, which are estimated to make up 90 percent of the daily fantasy market, announced the planned merger in November but met much criticism due to anti-trust regulations. The abrupt cancellation of the merger comes on the heels of the Federal Trade Commission, along with attorney generals in California and District of Columbia, filing lawsuits in June in an attempt to block the merger.

    “FanDuel decided to merge with DraftKings last November, because we believed that this deal would have increased investment in growth and product development thereby benefiting consumers and the greater sports entertainment industry,” FanDuel CEO Nigel Eccles said Thursday in a statement.”There is still enormous, untapped market opportunity for FanDuel, and we will continue to execute our strategy to grow our business and further expand the fantasy sports industry.”

    DrafKings CEO Jason Robbins maintained that the cancellation of the merger was for the best.

    “We believe it is in the best interests of our customers, employees, and investors to terminate our agreement to merge with FanDuel and move forward as a separate company,” Robbins said in a statement.

    Some legal experts believe the timing of the cancellation signals more issues than just legal costs.

    “Perhaps these companies were worried about the information that would be revealed at the [preliminary injunction] hearing and how that would tarnish their brands. Win or lose, at the end of the day, image is everything to these companies, and they couldn’t afford adverse witnesses or data that could permanently impair their chances of recovering from a failed merger,” Rachel Hirsch, an attorney for Washington, D.C.-based firm Ifrah Law who specializes in FTC investigations, said to ESPN.

  5. #5
    unde0087
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    enter promo code "noonefukincares"

  6. #6
    thechaoz
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    I thought the feds said no

  7. #7
    xKMACKx
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    Quote Originally Posted by unde0087 View Post
    enter promo code "noonefukincares"

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