Endeavor, a prominent global sports and entertainment company, made a significant announcement on Thursday regarding their strategic integration of OpenBet and IMG Arena.
This move is aimed at harnessing OpenBet’s advanced betting technology and combining it with the extensive data capabilities of IMG Arena.
Under this integration, IMG Arena will operate under the OpenBet banner, offering its valuable data services to operators, media entities, and other rights holders.
Jordan Levin, the CEO of OpenBet, will lead this venture, reporting directly to Mark Shapiro, Endeavor’s President, and COO.
Meanwhile, Freddie Longe, the former President of IMG Arena, will continue to play a pivotal role as a strategic advisor during the transitional period.
The announcement marked the culmination of a plan that had been in motion since Endeavor’s acquisition of OpenBet in September 2022, a deal valued at a substantial $800 million.
Mark Shapiro emphasized the vision behind this integration, stating that it aimed to create a global leader in the betting, sports data, and technology industry by leveraging Endeavor’s extensive sports and entertainment capabilities.
Jordan Levin further emphasized the unique position they now hold as an end-to-end sports data, technology, and content ecosystem for betting operators, rights holders, and media organizations.
He stressed their commitment to placing customers and their players at the core of their product and technological innovations.
This move is part of Endeavor’s broader strategy to expand its presence in the sports betting sector, which has already shown promising results.
Their sports data and technology division reported impressive revenue growth, with Q3 2023 revenues reaching $124.8 million, a remarkable 167.2% increase compared to the same period in 2022. This growth was attributed to the OpenBet acquisition and the success of IMG Arena.
The division’s adjusted EBITDA also soared to $24 million, a staggering 476.5% year-on-year increase.
It’s worth noting that OpenBet boasts an impressive client list, including prominent names like DraftKings, FanDuel, SkyBet, Ladbrokes, and William Hill, while IMG Arena collaborates with over 470 leading sportsbook brands, leagues, and federations worldwide.
This integration comes on the heels of earlier takeover rumors surrounding Endeavor Group, which initiated a strategic review in October 2023, contemplating the possibility of going private.
Silver Lake, a substantial $98 billion private equity firm, has expressed interest in taking over Endeavor, though no official bid has been reported as of yet.
Silver Lake currently owns 71% of the voting power within the company, with key figures like Egon Durban and Stephen Evans actively involved in its executive committee.