Fanatics increases its offer to $225 million to acquire PointsBet's U.S. assets

Fanatics has raised the stakes arsenic it looks to get PointsBet's U.S. business.

The sports level institution accrued its offering by 50% to $225 cardinal successful an effort to outbid DraftKings, which made a non-binding connection of $195 cardinal earlier this month.

PointsBet shareholders volition formally ballot connected the caller connection Thursday night.

"The Board unanimously supports the improved connection from Fanatics Betting and Gaming, which provides a superior terms positive certainty," PointsBet Chairman Brett Paton said successful a statement.

PointsBet gave DraftKings until 6 p.m. connected Tuesday (Melbourne time) to marque a binding connection and they failed to bash so.

DraftKings CEO Jason Robins antecedently told CNBC that portion the woody wouldn't person been transformative for DraftKings, it would let the institution to grow marketplace share.

If the woody is formally approved by PointsBet shareholders and regulators, it volition springiness Fanatics overmuch needed U.S. existent property successful the 15 U.S. states wherever they operate. PointsBet is the seventh-largest U.S. sports betting operator.

"Our U.S. squad volition person a beardown aboriginal arsenic portion of the Fanatics Betting and Gaming radical and PointsBet volition physique connected the opportunities successful Australia and Canada underpinned by a beardown equilibrium sheet," Paton said.

Fanatics CEO Michael Rubin told CNBC aft the DraftKings announcement that helium was highly skeptical of their projected offer, which helium viewed arsenic DraftKings attempting to dilatory Fanatics down.

"It's a determination to hold our quality to participate the market," Rubin said. "I conjecture they are much acrophobic astir america than I would person thought."

DraftKings and Fanatics some declined to remark connected the news.