Well, here we go again with DraftKings merger/acquisition rumors. Last year everyone was convinced that FanDuel and DraftKings would merge in order for both to survive until the legalization of sports betting in the United States. When all fell through, it became clear that DraftKings was in much better shape to continue in DFS, while FanDuel immediately cut employees and costs.
Since that time we have seen FanDuel acquired by UK bookmaking power-house Paddy Power Betfair and the rumor mill point to Kindred Gaming Group knocking at DraftKings door.
Swedish online gambling giant, Kindred Group, has appointed an SVP for its newly-created US division to lead the operator’s strategic expansion in America. Manuel Stan will take up the reins stateside having been promoted from his previous position of central brand marketing director.
DraftKings just announced their partnership with Resorts Atlantic City, so it is no surprise to see gambling companies entering into the M&A discussion with them. From the chatter we are hearing, this appears to be more smoke than fire. It may trigger other gambling companies to insert themselves quickly into the DraftKings acquisition conversation for fear of missing out on the sports betting launch that is about to take place on the east coast of the United States.