Endeavor reveals plans for management buyout of Openbet and IMG arena
Endeavor Group Holdings, global sports and entertainment company, has announced that it has agreed to sell OpenBet and IMG ARENA to OB Global Holdings LLC in a management buyout backed by Ariel Emanuel with participation from executives of OpenBet, including CEO Jordan Levin.
Levin said: “This management buyout allows us to continue executing our vision for increased market expansion and product innovation. Our group is extremely confident in OpenBet’s future considering the premium product offering, superior talent, and solid foundation we already have in place following a strong period of business growth.”
Under the terms of the transaction, OB Global Holdings will acquire the businesses for approximately $450 million, subject to certain adjustments, financed through a mix of cash and debt.
During the sign-to-close period and after closing, Endeavor will continue to market IMG ARENA for sale to a third-party purchaser.
OpenBet powers responsible betting and gaming entertainment for more than 200 market leading operators around the globe. Following close of the transaction, Levin will continue to lead the business as CEO.
The transaction is being pursued, and is a necessary step, for the closing of the proposed Endeavor take-private by Silver Lake. The transaction is subject to customary closing conditions, including approvals required under applicable gaming regulatory authority, and is conditioned on and expected to close immediately prior to the closing of the Endeavor take-private.
Oakvale Capital LLP and The Raine Group acted as financial advisors to Endeavor.
Endeavor, a global entertainment, sports, and content company, has recently announced its plans for a management buyout of Openbet and IMG Arena. This move comes as part of Endeavor’s strategy to expand its presence in the sports betting and gaming industry.
Openbet is a leading provider of software and services for the sports betting industry, while IMG Arena is a division of IMG that specializes in providing sports data and content to betting operators. By acquiring these two companies, Endeavor aims to strengthen its position in the rapidly growing sports betting market.
The management buyout of Openbet and IMG Arena will allow Endeavor to have greater control over the operations and strategic direction of these companies. This move also demonstrates Endeavor’s commitment to investing in the sports betting industry and leveraging its expertise in entertainment and content to drive growth in this sector.
Endeavor’s CEO, Ari Emanuel, commented on the acquisition, stating that “We see tremendous potential in the sports betting market and believe that Openbet and IMG Arena are well-positioned to capitalize on this opportunity. By bringing these companies under the Endeavor umbrella, we can leverage our resources and expertise to drive innovation and growth in this space.”
The management buyout of Openbet and IMG Arena is expected to be completed in the coming months, pending regulatory approval. Once finalized, Endeavor plans to integrate these companies into its existing portfolio of businesses, creating a comprehensive offering for sports betting operators and fans alike.
Overall, the acquisition of Openbet and IMG Arena by Endeavor represents a significant development in the sports betting industry. With Endeavor’s resources and expertise backing these companies, we can expect to see exciting new innovations and opportunities emerge in the world of sports betting in the near future.