Is draft king publicly traded?

Is DraftKings Publicly Traded?

Yes, DraftKings is publicly traded. Rather than pursuing a traditional Initial Public Offering (IPO), DraftKings opted for a more complex but ultimately faster route to the stock market: a reverse merger. This process, completed in April 2020, saw DraftKings combine with two other entities: SBTech, a prominent sports betting technology provider, and Diamond Eagle Acquisition Corp., a special purpose acquisition company (SPAC), also known as a blank-check company.

Diamond Eagle Acquisition Corp., already listed on the Nasdaq exchange, provided the shell for the merger. By merging with Diamond Eagle, DraftKings bypassed the lengthy and often arduous process of a traditional IPO. This strategic maneuver allowed the newly formed combined entity, retaining the DraftKings name, to begin trading publicly almost immediately.

This three-way merger brought together crucial elements for success in the burgeoning online sports betting market. DraftKings brought its established brand and user base, SBTech contributed its technological infrastructure and expertise, and Diamond Eagle facilitated access to public capital. The resulting entity began trading under the ticker symbol “DKNG” on Nasdaq.

The reverse merger proved to be a highly effective strategy, enabling DraftKings to capitalize on the growing legalization and acceptance of online sports betting across the United States. By becoming publicly traded, DraftKings gained access to significant capital, boosting its ability to expand its operations, invest in technology, and compete in the rapidly evolving gaming landscape. So, if you’re wondering whether you can invest in DraftKings, the answer is a resounding yes – its shares are readily available on the Nasdaq exchange.