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While online sportsbook companies were profitable for parts of 2022, and the end of losses is expected to be a prominent industry trend in 2023, being a private company is an efficient avenue for cutting expenses. As EKG notes, being a listed firm isn\u2019t cheap. There are costs involved with everything from Securities and Exchange Commission (SEC) filings to holding investor days to maintaining investor relations staff and more.<\/p>\n<\/div>\n
Additionally, as pure play names such as DraftKings (NASDAQ:DKNG) and Rush Street Interactive (NYSE:RSI) confirm, there are no guarantees market participants will appropriately value sports betting\u2019s future prospects. Likewise, the public companies in the space are being punished amid fears that inflation and a recession will crimp consumer spending.<\/p>\n
Still Hope for Expansion<\/h2>\n
Investors craving more options among publicly traded sports wagering firms need not fret. There are no guarantees the EKG prediction will be accurate, and as of now, no operators are signaling plans to become private companies.<\/p>\n
Additionally, 2023 could be the year of some of the most anticipated IPOs in the nascent industry\u2019s history. For example, one of or both FanDuel and Fanatics<\/a> could become listed entities this year.<\/p>\nFanDuel, the largest online sportsbook operator in the US, would be spun off from parent company Flutter Entertainment (OTC: PDYPY), while Fanatics would be a more traditional IPO. There\u2019s no firm date on when either of those moves will occur. But rumors are flying that Fanatics recently held discussions with investment banks regarding a potential IPO.<\/strong><\/p>\n","protected":false},"excerpt":{"rendered":"Less than three years removed from a flurry of initial public offerings (IPOs) by companies with ties to the sports betting industry, it\u2019s possible that at least one of those firms goes private this year. That\u2019s the sentiment of research firm Eilers & Krejcik Gaming (EKG). In its most recent edition of the EKG Line, […]<\/p>\n","protected":false},"author":46,"featured_media":251607,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[10,1074],"tags":[],"acf":[],"yoast_head":"\n
Publicly Traded Sports Betting Company Could Go Private In 2023<\/title>\n\n\n\n\n\n\n\n\n\n\n\n\n\t\n\t\n\t\n\n\n\n\n\n\t\n\t\n\t\n