NBA and MLB may leave DFS market
The US sports leagues have started talks to sell their stakes in FanDuel and DraftKings.
US.- Spokesmen for the Major League Baseball (MLB) and NBA basketball league confirmed that they have started talks with DFS companies DraftKings and FanDuel in order to discuss the possible selling of their stakes.
The MLB first invested in DraftKings in 2013, and the league signed a multi-year deal to make the company its official daily fantasy market in 2015. On the other hand, the NBA acquired an ownership stake in rival company FanDuel in 2014. While both companies revealed to ESPN that they started discussions with the DFS operators, they didn’t reveal financial details or exit terms.
“While we have initiated discussions regarding potential changes to the structure of our relationship, we look forward to continuing our valued partnership with DraftKings. MLB and DraftKings will continue to collaborate on innovative approaches to enhance the fan experience,” said the MLB in a statement.
Mike Bass, spokesman for the NBA, added: “This space is evolving, and we saw the need to take a fresh look at the structure of our relationship. FanDuel has been, and will remain, a great partner; we have simply modified some of the components of our partnership.”
Moreover, DraftKings released a statement in which it said that the MLB was the first professional league to invest in DraftKings and that their partnership over the last five years has been instrumental to its growth and success. “Our ties to MLB are as strong as they have ever been,” the company said.
