DraftKings and FanDuel terminate merger
Fantasy sports sites DraftKings and FanDuel have decided to terminate their proposed merger, following the objection of federal antitrust regulators.
Why it matters: Corporate America has believed that the Trump Administration would look very favorably on corporate mergers, but its action with FanDuel and DraftKings suggest that there won't be a free pass (at least in emerging tech markets). And this one might sting even a bit more given that DraftKings investors include New England Patriots owner Bob Kraft, who has been a vocal Trump supporter.
What next? DraftKings raised new funding earlier this year, while FanDuel stopped new financing talks in anticipation of the merger. Now expect FanDuel to resume those conversations. Per merger documents obtained by Axios, each company is currently valued at $1.2 billion.