Fox logo. Source: T. Schneider, Shutterstock

Fox Seeks to Buy FanDuel Stake Below Market Value

Fox CEO LaLanne Murdoch has suggested that the company might pursue a stake in FanDuel at a price below its assessed market value. According to Goldman Sachs, FanDuel is valued at $35 billion. Fox has the opportunity to acquire an 18.6% share in FanDuel, which would equate to approximately $6.5 billion based on this valuation.

However, in a recent financial report, Fox indicated that it anticipates the cost of acquiring that stake would be around $4.3 billion. This figure places the transaction approximately $2.2 billion below FanDuel’s market worth, according to analysts.

Despite this, Murdoch remains resolute, stating, “We’re not going to leave $2 billion on the table.” He emphasised the strategic advantages that expanding Fox's stake in FanDuel could offer, such as enhanced engagement opportunities with its audience.

The media company holds a 10-year option to secure the 18.6% ownership, allowing the deal to potentially close by December 2030, although Fox may opt to move forward sooner. The acquisition, however, will require regulatory approvals and may be subject to specific conditions.

14 September 2024, 15:00

Finance Betting Gambling Partnership

Finance

Flutter Enters Top 3 Largest Bookmakers in Brazil

28 September 2024, 10:08

DraftKings to Pay $200,000 Fine Over Social Media Post

27 September 2024, 15:41

Star Entertainment Group Reports Financial Downturn

27 September 2024, 10:54

Flutter Entertainment aims to triple profits

26 September 2024, 09:19

US reports growing gambling industry revenues for the month