DraftKings has made an acquisition offer for Entain, the European sports betting operator said in a statement on Tuesday. Should a sale occur, DraftKings would dramatically increase its overseas presence as sports betting continues to expand in the U.S. and overseas. Though specific terms weren’t mentioned, CNBC reported Tuesday that the Boston-based company is making a $20 billion cash and stock offer.
A representative for DraftKings (NASDAQ: DKNG) confirmed that a proposal has been sent to Entain but added, “Under the U.K. Takeover Code, we cannot provide any further comment at this time.” Entain (LSE: ENT) shares were up nearly 20% on the London Stock Exchange on the news.
In January, Entain rejected a roughly $11 billion takeover offer from MGM Resorts International (NYSE: MGM), saying the all-stock offer undervalued the company. Last month, Entain CEO Jette Nygaard-Andersen declined to comment on the status of talks with MGM or any other company.
Entain’s sportsbook brands include Ladbrokes, Coral and bwin. In the U.S., it is a 50-50 partner in BetMGM, alongside MGM.
(This story has been updated with details of the offer in the first paragraph and a statement from DraftKings and information on Entain’s stock price in the second.)