Endeavor is selling OpenBet and IMG Arena to OB Global Holdings LLC in a blockbuster $450 million deal. It’s a big move that shows the challenges, and promise, of US-facing sports betting properties.
The OpenBet deal is a management buyout that’s backed by Ariel Emanuel with the participation of OpenBet CEO Jordan Levin. A management is exactly what it sounds like and this one had the support of multiple executives within the company.
Levin commented on the deal in a recent press release saying, “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.”
OpenBet is a provider of sportsbook technology to more than 200 worldwide operators. The company was purchased by Endeavor back in September of 2022 for $800 million. The company is in good shape financially and reported a 40 percent increase in its global user base in just the last year alone. Recent acquisitions by OpenBet have fueled expansion into new markets such as geolocation and regulatory technology.
SBC Americas is reporting that the OpenBet sale might not be the last big deal involving Endeavor in the near future. According to the publication, Endeavor will likely be purchased by the private equity firm Silver Lake. Silver Lake currently owns around 31 percent of the company’s stock. It’s expected that the deal will approved and/or finalized sometime in 2024.