DraftKings' deadline to bid for Entain extended for one month

DraftKings has extended its deadline to decide on a formal offer for Entain for another month, as the betting firms continue in dialogue and define the details of a possible deal, including the US company’s plans for Entain’s BetMGM venture with MGM. 

Since the discussion still goes on, involving terms such as management composition and antitrust clearances, Entain sought the extension from the takeover regulator on Tuesday. DraftKings had until Tuesday October 19 to make a firm offer for the company or else walk away. The new deadline is November 16, 2021.

DraftKings put forward its $22.4 billion buyout proposal in September after Entain rejected a bid half the size from partner MGM earlier this year. The British brand’s shares rose by 17% in London trading. 

“The board will require a number of matters to be satisfactorily resolved that are fundamental to the structure and value of the proposal”, Entain said, as reported by Reuters. 

DraftKings stated that its talks with Entain continue as well as the conduction of due diligence, while also indicating it is open to other deals. 

"DraftKings further notes that while it progresses its discussions with Entain, it also continues to remain very focused on opportunities in the high-growth North America market," the company said.