DraftKings completes $750m acquisition of Jackpocket
Operator giant to ramp up integration of lottery courier as it looks to realize synergies and drive growth
DraftKings has completed its $750m acquisition of lottery courier firm Jackpocket after agreeing the deal back in February.
The Boston-based giant will now focus on integrating Jackpocket into its wider operations and look to realize synergies.
Management said these synergies would lead to “sustained growth and value creation”.
The operator is planning to secure lower customer acquisition costs via the brand while enhancing customer lifetime value.
In February, bosses said Jackpocket’s customer acquisition costs were around 80% lower than DraftKings’, while there was “significant customer overlap” between the two firms.
In March, DraftKings shifted its CFO Jason Park to become chief transformation officer with a key remit of overseeing the integration of Jackpocket.
Park had served as CFO since 2019 and was replaced by SVP of finance and analytics Alan Ellingson on May 1.
Jason Robins, DraftKings CEO, said: “We are well prepared to quickly launch cross-sell programs, further improve customer acquisition efficiency, and continue to innovate and differentiate with our overall product portfolio for our customers.
“We look forward to continuing to deliver enhanced value to our customers and shareholders as we integrate Jackpocket into the DraftKings ecosystem.”
Peter Sullivan, Jackpocket CEO, said the completion of the deal represented an “exciting new chapter” for the pair.
He added: “Together, we are confident that we will be even more capable of helping lotteries fulfill their mission of delivering revenue back to the beneficiaries they support.
“DraftKings’ proven reach and cutting-edge mobile platforms will continue to allow us to drive growth and innovation in the digital lottery vertical.”