DraftKings is buying into Horizon Acquisition Corp., a SPAC on the verge of taking Vivid Seats public. The sports betting giant is purchasing part of the stake owned by Eldridge Investments, a firm founded by Los Angeles Dodgers owner Todd Boehly. Eldridge is also an investor in DraftKings.
The SPAC merger, agreed to in April, values the combined company at around $1.95 billion.
The transaction will provide $769 million in cash and stock to Vivid Seats, $225 million of which will come from a private investment in public equity (PIPE). DraftKings is participating in the PIPE.
DraftKings is purchasing stock in the SPAC at $10 per share.
