One of the biggest names in the gambling industry Caesars Entertainment, Inc. has announced its intention to strategically invest in SuperDraft Inc.
SuperDraft Inc owns one of the prominent daily fantasy sports platforms, many of which have become popular over the last few years. This is particularly evident in the United States, but the popularity of fantasy sports sites is also growing in a number of other countries around the world.
The deal is seen as being a smart move by Caesars, adding a Fantasy Sports platform to their already impressive and expansive mobile sports and gaming network.
Option To Increase Its Stake
The details of the deal reveal that through an initial minority equity position in the company, Caesars does have an option in the future to increase the percentage of the stake it holds, at pre-determined levels, even up to 100%.
The injection of the additional funds from Caesars, combined with the opportunity for SuperDraft to access the knowledge and experience from within the Caesars brand means that SuperDraft is in a very strong position to become one of the predominant names in the burgeoning global daily fantasy sports industry.
“Fits With Our Strategic Vision”
Speaking about the investment into SuperDraft, Tom Reeg, the CEO of Caesars Entertainment Inc, commented
“The addition of daily fantasy sports fits seamlessly with our strategic vision for mobile and online sports.”
“SuperDraft’s innovative multiplier game mode is unique in the marketplace, and we believe it offers a tremendous opportunity to strengthen our position in the sports gaming landscape.”
SuperDraft will join a number of other popular online brands, including the World Series of Poker, William Hill, and Caesars Online Casino as part of the Caesars mobile and online gaming services.
“Breath of Fresh Air”
Steve Wang, the CEO and Founder of SuperDraft Inc. was delighted with the deal stating:
“We’re super excited to be part of Caesars’ powerful gaming ecosystem. Daily fantasy players deserve a breath of fresh air, and we’re here to transform the industry. SuperDraft is now well-positioned to accelerate its growth with financial staying power while broadening its consumer appeal with bigger contests and better rewards to players of all interest levels.”
First $1 Million Tournament On SuperDraft
To celebrate the partnership between the two companies, SuperDraft will be hosting its first-ever $1 million prize tournament, the SuperMillion Big Game contest, on Sunday, February 7.
The tournament will be held on the same day as Super Bowl LV, which sees the Tampa Bay Buccaneers becoming the first team to play for the Lombardi Trophy on home soil, when they host the Kansas City Chiefs at Raymond James Stadium in Tampa on that date.
Opportunities to enter the competition through a series of daily paid and free entry contests will be available in the build up to the big game. This will allow players to win a ticket to enter the tournament and compete for the first prize, which is worth $300,000.
Alongside the big SuperMillion Big Game contest, a further two $100,000 contests will be held on Super Bowl Sunday with $20,000 first prizes to be won.
As part of the agreement, SuperDraft will become part of Caesars’ single wallet solution, which allows its members more options to play either online or in real world casinos. This would tie in nicely with the Caesars Rewards program.
The program allows players to earn credits at providers which can be collected and redeemed for rewards and experiences, both online and also at Caesars resorts across the U.S.
Concluding on a positive note about the deal, Nate Hunter, the SuperDraft CTO, and Co-Founder remarked:
“Caesars is a strong strategic partner that will allow us to further enhance our industry-leading tech stack and provide an enhanced player-first experience.”
“Now SuperDraft can adapt to the market faster than the institutional daily fantasy providers while providing our players with unmatched prizes, loyalty rewards, and exclusive VIP opportunities.”