Endeavor, the global entertainment, sports, and content company, has agreed to sell its betting subsidiaries, OpenBet and IMG Arena, to OB Global Holdings for $450 million (£352.9 million). The deal is a strategic move for Endeavor as it prepares to go private in an upcoming transaction with private equity firm Silver Lake, valuing the company at an impressive $13 billion (£10.2 billion).
Endeavor CEO Ari Emanuel is backing the management buyout, with OpenBet CEO Jordan Levin also heavily involved. The sale, expected to close in Q1 2025, remains subject to regulatory approval from relevant betting authorities and is intended to be completed just prior to Endeavor’s final take-private transition.
The decision to sell IMG Arena and OpenBet, both key players in Endeavor’s sports betting segment, reflects a "necessary step" in Endeavor's transformation strategy. Endeavor originally acquired OpenBet in 2022 for $800 million (£627.4 million), aiming to fortify its sports betting portfolio alongside IMG Arena, a leader in delivering data and live streaming for sports betting operators.
The acquisition by OB Global Holdings will be funded through a mix of cash and debt, and under the terms, Jordan Levin will remain as CEO of OpenBet, a platform that powers more than 200 betting operators worldwide. Endeavor will continue to market IMG Arena independently, seeking a third-party buyer for this London-based division.
Oakvale Capital and Raine Group served as financial advisors to Endeavor for the deal, guiding the media conglomerate through a complex transaction aimed at optimizing Endeavor's portfolio ahead of its private transition.
In a statement, Levin highlighted the positive outlook for OpenBet's future: “This management buyout allows us to continue executing our vision for increased market expansion and product innovation. Our group is extremely confident in OpenBet’s future, given the premium product offering, top-tier talent, and strong foundation we have in place after a period of robust growth.”