Top Hollywood financiers Jeff Sagansky and Harry E Sloan are expected to take over DraftKings Inc through their sports entertainment fund’ Diamond Eagle Corp,’ headquartered in LA.
Bloomberg reports this morning that the media and finance team have entered into talks to buy DraftKings from Boston-based DFS and sports betting provider–with Bloomberg noting that “no transaction has been finalised.”
Previously, Sagansky and Sloan sought U.S. betting related investments, with their’ Platinum Eagle ‘ fund reporting a’ reverse merger’ of FanDuel in 2018, tempting DraftKings ‘ main DFS rival to’ go public.’
Diamond Eagle serves as the special purpose vehicle for sports investment by Sagansky and Sloan, with the fund set up at the beginning of 2019 looking at investments that will disrupt the sport scene in the US.
DraftKings has been the subject of ongoing buyout and IPO rumours since the repeal of PASPA federal laws in 2018, as the Boston-based operator maintains a significant presence with U.S. sports audiences, gained through its popular sports fantasy product.
In an emailed statement, the company said: “DraftKings speaks to a variety of companies regarding various matters in the normal course of business, and it is our general policy not to comment on the specifics of any of those discussions.”