DraftKings will go public through a $3.3 billion merger with two other firms, the company announced.
The move comes more than two years after the online sports gaming company scrapped plans to merge with FanDuel, another major player in the daily fantasy sports market.
DraftKings will combine with Diamond Eagle Acquisition Corp., a blank-check company that is already publicly traded, and gaming technology firm SBTech to create the nation’s only vertically integrated “pure-play” sports betting and online gaming firm, according to a press release.
“With the full integration of SBTech’s technology and innovative product expertise coupled with the right capitalization, DraftKings will be in a great position to continue its ambitious expansion plans in the United States,” Harry E. Sloan, Diamond Eagle’s founding investor, said in a statement.
All three companies’ boards of directors have approved the tie-up, which is expected to be completed in the first half of next year. DraftKings co-founders Jason Robins, Paul Liberman and Matt Kalish will be on the new company’s management team, along with members of SBTech’s existing management, the firms said.
Diamond Eagle plans to change its name to DraftKings and get a new Nasdaq ticker symbol once the deal closes.