Endeavor completes $800m OpenBet deal
UFC and IMG ARENA owner lauds potential to “unlock meaningful value” with multi-million-dollar acquisition
Endeavor Group has confirmed the completion of its $800m acquisition of ex-Scientific Games subsidiary OpenBet.
Under the terms of the deal, the firm financed the deal through a combination of $750m in cash, with the rest made up of shares in Endeavor’s Class A common stock.
The original cash and stock deal of $1.2bn was announced in September 2021, but was reduced by 33% to an $800m deal in June 2022 following negotiations with former owner Light & Wonder.
Nasdaq-listed Endeavor is a content-led sports and entertainment company that owns events and media giant WME, martial arts organization UFC and sports streaming and data provider IMG Arena.
Endeavor CEO Ariel Emanuel welcomed the completion of the deal, outlining his take on next steps for the business.
“The addition of OpenBet to our sports betting portfolio will enable us to further capitalize on the massive tailwinds in the fast-evolving sports betting ecosystem and lead the way in defining the future of sports betting entertainment,” Emanuel said.
“In combination with our IMG ARENA sports data and content business, we’ll look to create and unlock meaningful value for our rights holder and sportsbook customers, helping deliver the most compelling offerings for sports fans globally,” he added.
Following the completion of the deal, OpenBet and IMG ARENA will form a fourth operating segment for Endeavor, Sports Data & Technology beginning January 2023.
OpenBet CEO Jordan Levin noted the firm’s focus on technology as a constant, as it looks to move on from its previous incarnation as a Light & Wonder entity.
“We’ve been awaiting this day when we can bring together everything OpenBet has to offer with the depth of expertize and relationships that Endeavor and IMG bring to the table,” Levin said.
“Our focus remains on providing our customers with the most innovative solutions to give their fans the ultimate sports betting complement to live sports. We couldn’t be more excited to lean into the Endeavor network to accelerate and amplify that mission,” he added.
OpenBet provides betting engine technology as well as trading, pricing and risk management tools, player account and wallet solutions through services including BetBuilder, DonBest pricing feeds and an industry-first sports content aggregation platform.
Current OpenBet clients include DraftKings, FanDuel, SkyBet, Ladbrokes and William Hill.
IMG already works with more than 470 global sportsbook brands to provide live streaming video and data feeds across more than 45,000 sports events annually.