Endeavor Group Holdings (NYSE: EDR), a global sports and entertainment company, has announced that it has agreed to sell OpenBet and IMG ARENA to OB Global Holdings LLC.
The management buyout is backed by Ariel Emanuel and includes participation from OpenBet executives, including CEO Jordan Levin.
Commenting on the deal, OpenBet’s CEO Jordan 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 the 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.
