DraftKings has opened a new $500 million credit facility, a move that will give the company easy access to more—and cheaper—liquidity should it need the money in the next few years.
The new $500 million revolving credit facility, taken out this week with a syndicate led by Morgan Stanley, replaces a $125 million facility that the gaming company entered into with Banc of California and Citizens Bank in December 2022. That old agreement has been terminated.
The shift gives the company more credit and more flexibility at a lower price, at least based on current rate levels, and saves it money compared to its prior deal as long as it doesn’t leave the credit unused.
