Joint rulers of the fantasy that is daily (DFS) market DraftKings and FanDuel have walked away from a proposed merger of equals, less compared to a month following the Federal Trade Commission (FTC) moved to block the offer on grounds of antitrust ‘fair competition’ issues.
The deal’s off: DraftKing’s Jason Robins (left) and FanDuel’s Nigel Eccles announced on Thursday that their companies would be going it alone, calling off a potential FTC fight regarding the grounds of antitrust violations. (Image: Reuters)
The 2 companies announced the termination of the tie-up on Thursday, just days after they’d each filed legal briefs to a district that is federal, vigorously defending the merger.
But with both companies already fighting legal actions on several fronts, it looked like another expensive and perhaps condemned appropriate battle lay ahead. A source told ESPN that accepting free 50 lions slot game the FTC would cost some $ likely12 to $15 million.
Ironically, consolidation might have dramatically cut the amount of legal and costs that are lobbying two businesses spend fighting for legal DFS in states across the US. It could also remove the costs associated with attempting to out-market each other.
The failure of the deal leaves both in precarious financial positions, as neither has ever been profitable. Papers related to the merger leaked final month revealed that DraftKings has lost a staggering $688 million Continuar leyendo «DraftKings, FanDuel Jettison Merger Plans, Back Off From FTC Challenge»