FanDuel to Announce New Round of Funding
FanDuel is expected to announce a $275 million round of funding. With fantasy sports picking up steam, and new players entering the industry, such as Yahoo, the money comes at a perfect time for one of the largest companies in the space.
The most recent investment, bringing FanDuel’s total to $363 million, was led by Kohlberg Kravis Roberts, a firm that has previously invested in the company. Other participants in this round include:
- Google Capital (new investor)
- Time Warner (new investor)
- Shamrock Holdings (previous investor)
- Comcast Ventures (previous investor)
- NBC Sports Ventures (previous investor)
Why Does FanDuel Need the Money?
Let’s face it: FanDuel has been doing just fine without this most recent round of funding. That said, the company has big plans for the money, including expanding its global presence and ramping up marketing and advertising campaigns.
The Future Looks Bright
This year alone, FanDuel is expected to award approximately $2 billion in prizes. When compared to $560 million in 2014, the power and growth of the brand is on display. Furthermore, and just as impressive, is the fact that its user base has grown 300 percent compared to last year.
As long as FanDuel continues to grow, as long as it remains a major player in the fantasy sports industry, its value will rise. While it is hard to put an exact valuation on the company at this point, most, including CEO Nigel Eccles, believe it has surpassed the $1 billion mark.
As interesting as things have been to this point, there is more excitement to come. Not only is the fantasy sports industry growing, putting FanDuel in position for even more growth, but an IPO is not out of the question.