Fantasy sports firm raises more capital
News on 5 Sep 2014
News on 5 Sep 2014
Investor confidence in both fantasy sports and FanDuel is high following the company’s announcement this week that it has successfully closed a $70 million Series D funding round led by Shamrock Capital Advisors, with NBC Sports Ventures and investment firm KKR participating.
The round was also well supported by existing investors Comcast Ventures, Pentech Ventures, Bullpen Capital, Scottish Enterprise and Richard Koch.
Fanduel has now raised a total of $88 million and is well placed to continue its success and growth in the one-day fantasy sports industry. The company already has solid partnership ties with popular brands including Yahoo, ESPN, CBS, NBC and the Orlando Magic basketball team.
Nigel Eccles, CEO of the company said Thursday: “We couldn’t be more pleased to be able to make this announcement at the start of the football season, as more users begin to embrace the one-day fantasy experience.”
Eccles revealed that Mike LaSalle and Alan Resnikoff, partner and principal of private equity firm Shamrock Capital Advisors, have joined FanDuel’s board, and Rick Cordella, NBC Sports Group’s senior vice president and general manager, digital media, has joined as a board observer.
“We see FanDuel’s clear leadership in the one-day fantasy sports space and we wanted to help them accelerate their already explosive growth,” said LaSalle. “We look forward to working closely with FanDuel as they build out their web and mobile platforms and develop closer relationships with the leagues and media partners.”
Eccles says that FanDuel will use the funds to expand operations in New York and Edinburgh, which currently have staffs of 106 employees, and continue to introduce innovative, new products and features to its players across North America.
The company has reported strong growth over the past year, and boasts that it holds 65 percent of the daily and weekly fantasy sports market. Eccles estimates that the enterprise will pay users over $400 million in prizes and rewards this year.
