Published on: March 1, 2021, 12:08h.
Final updated on: March 1, 2021, 01:44h.
Just a couple of days into life as a business noted on a significant United States trade, get Media & Gaming (NASDAQ:SCR) is a topic of takeover rumors which are delivering stocks associated with company that is canadian today.
In late trading, shares of the media company and sportsbook operator are higher by more than six percent. That’s on volume that’s more than quadruple the daily average, all following a report that rival DraftKings (NASDAQ:DKNG) is looking for deals and could have Score Media in its sights.
Some of the names rumored more recently to be on DraftKings’ radar are media companies, including TheScore and John Skipper and Dan Le Batard’s nascent Meadowlark Media venture; small sports properties, including the X Games; and the poker company Run It Once,” reports Insider.
To be sure, DraftKings dealmaking is in the rumor phase at the moment. However, Macquarie analyst Chad Beynon said in a note to clients earlier that he expects the company will address merger and acquisition opportunities at its investor day on March 9.
A request for comment from Score Media wasn’t returned prior to the publication of this article.
Score today Makes Sense for DraftKings
The business behind theScore Bet app that is mobile for a practical target for DraftKings because the Boston-based company has long been rumored to be interested in bringing a pure-play media outfit into its fold.
Additionally, the Canadian company would likely be affordable for DraftKings. Following a recent initial offering that is publicIPO) by which it raised $186.3 million and graduated to a Nasdaq listing, Toronto-based rating Media has market capitalization of $1.17 billion. DraftKings is respected at $22.64 billion.
Not yet per year taken from its very own IPO, DraftKings has a balance sheet that is pristine. However, it’s not yet profitable.
As of the final end of 2020, the sportsbook operator has $1.8 billion in money with no financial obligation. Also, having its stock ascending to all-time highs today, the business could effortlessly utilize its equity as money, should it find a takeover that is suitable.
Score Doesn’t Need to Sell
While acquisition rumors previously swirled around Score Media, it’d be unusual for a company so closely removed from an IPO and move to a US that is prominent exchange offer it self.Additionally, theScore is inhabit Colorado, Indiana, Iowa, and nj-new jersey. DraftKings currently has publicity here. Then there’s the legalization that is recent of sports betting in Canada, which is expected to benefit Score Media more than any other company. That could make the company reluctant to sell, while simultaneously making it a more target that is attractive a suitor.
“TheScore would provide DraftKings a media partner that may assist funnel more activities fans to its sportsbook and a more substantial foothold in Canada,” in accordance with
One more tidbit that is interesting DraftKings rival Penn National Gaming (NASDAQ:PENN) has 4.7 % of get Media, and thus if DraftKings makes a move in the Canadian operator, it might enrich certainly one of its many direct competitors in the act.(*)Related News Articles(*)