Penn Entertainment ( NASDAQ: PENN ) officially closed on the deal to acquire Barstool Sports. The remaining 64% interest in Barstool was acquired for approximately $388M. The company said during its last earnings call that it would use $320M of cash to complete the purchase inclusive of the repayment of debt and transaction expenses.
The casino operator said the closing of the acquisition marks a major milestone for Barstool Sports as it celebrates its 20th anniversary since being founded by Dave Portnoy.
Barstool is noted to have over 200M loyal followers and distribute content through its extensive network of over 100 shows and +90 personalities.
The Barstool Sportsbook online betting platform is currently live in 15 states, with Penn also having launched retail branded Barstool Sportsbooks at its properties across the country. Penn and Barstool Sports plan to continue to innovate and collaborate, including across Barstool’s sports bar footprint.
Penn Entertainment ( PENN ) said that in the three years since the first investment by the company in Barstool Sports the audience has grown by 194%, total podcast downloads of 1.6B have been generated, ad sales are up 160%, and the company has sold over 5 M units, including apparel, licensed products and accessories, by combining a direct-to-consumer approach and bringing the brand to thousands of retail stores nationwide.
Shares of PENN are up 9.91% on a year-to-date basis.
Read the recent Penn Entertainment earnings call transcript.
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Barstool Sports is officially swallowed up by Penn Entertainment