The global sports and entertainment company, Endeavor Group Holdings, announced Monday it reached an agreement to sell OpenBet and IMG Arena to OB Global Holdings LLC. Details regarding the strategic business transaction emerged on Monday.
The Management Buyout Is Backed by Key Execs The transaction has a price tag of $450 million. Endeavor confirmed that the closing of the acquisition is subject to relevant regulatory approvals and customary conditions. The funding of the transaction is expected to be completed via a mixture of debt and cash.
According to Endeavor, the $450 million management buyout is part of its plans to transition into private ownership by Silver Lake. The buyout is backed by OpenBet’s CEO, Jordan Levin, as well as Endeavor CEO Ariel Emanuel.
The multi-million-dollar transaction will see OB Global Holdings acquire the two businesses. After the completion of the strategic business combination, Levin will retain his senior-level role of CEO. As explained by Endeavor, during the signing and after the closing period, the company will “continue to market IMG ARENA for sale to a third-party purchaser.”
The company added that The Raine Group, together with Oakvale Capital LLP, acted as its financial advisors for the aforementioned deal.
Currently OpenBet has a solid presence across the globe. The company offers its services to gaming and betting operators in more than 200 markets and constantly expands its footprint.
The Company Will Continue to Expand and Improve Its Products Levin shared his excitement about the recently announced management buyout, revealing that this strategic move will help grow the company’s reach. Moreover, the executive explained: “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.”
“This management buyout allows us to continue executing our vision for increased market expansion and product innovation.“
Jordan Levin, CEO at OpenBet The recent announcement comes after back in September, Endeavor announced it put OpenBet and IMG Arena up for sale. As noted, the divestment of the two core assets marks a landmark moment in the company’s takeover by Silver Lake in a deal with a $13 billion price tag.
