$19m: Paddy Power’s fantasy bet

Bookmaker makes interesting move into daily fantasy sports market
Thursday 18 May 2017 Author: Daniel Coatsworth

Paddy Power Betfair (PPB) has paid $19m initial consideration for a daily fantasy sports business that isn’t forecast to break even for another two years.

The acquisition is a business called DRAFT which offers something similar to fantasy football leagues, albeit focused on the major US sporting leagues across baseball, hockey, American football and golf.

DRAFT claims a broader segment of its customers are winners compared with some of its rivals where a large percentage of winnings go to just 1% of the players.

Paddy Power will boost marketing spend on DRAFT to help it maximise revenue growth opportunities.

‹ Previous2017-05-18Next ›

Important information:

These articles are provided by Shares magazine which is published by AJ Bell Media, a part of AJ Bell. Shares is not written by AJ Bell Youinvest.

Shares is provided for your general information and use and is not a personal recommendation to invest. It is not intended to be relied upon by you in making or not making any investment decisions. The investments referred to in these articles will not be suitable for all investors. If in doubt please seek appropriate independent financial advice.

Investors acting on the information in these articles do so at their own risk and AJ Bell Media and its staff do not accept liability for losses suffered by investors as a result of their investment decisions.

The Shares team
Disclaimer

Advertising feature

Issue contents

The value of your investments can go down as well as up and you may get back less than you originally invested. We don't offer advice, so it's important you understand the risks, if you're unsure please consult a suitably qualified financial adviser. Tax treatment depends on your individual circumstances and rules may change. Past performance is not a guide to future performance and some investments need to be held for the long term.