Daily fantasy sports giant FanDuel may be forced to take out a tithing basket once again and gather more funds from investors after the US Federal Trade Commission (FTC) blocked its proposed merger with rival DraftKings.
The Sunday Times reported that FanDuel investors could be forced to inject further funds after the FTC thumbed down the historic merger of the industry’s two biggest DFS operators. FanDuel’s current investors include KKR, Shamrock and Scottish private equity group, Pentech and Scottish Enterprise.
The funding, according to the report, would be on top of the $350m (£270m) investors have already put into FanDuel since it was founded in 2009.
FanDuel’s merger with DraftKings would have been its saving grace especially that its accounts for the period to December 31, 2015 are overdue as of 30 June.