SinglePoint Acquires Interest in Profitable Daily Fantasy Sports Enterprise DraftFury
SEATTLE, WA -- (Marketwired) -- 05/25/16 -- SinglePoint Inc. (OTC: SING) announces today that it has finalized an acquisition deal for interest in DraftFury, widely recognized as the first cash flow positive DFS enterprise, using a company valuation of $8m.
The deal is executed with DraftFury placing their bets on SinglePoint, accepting a final transaction to be made using a combination of SinglePoint's common stock and cash.
SinglePoint CEO Greg Lambrecht is thrilled with the purchase: "This is a great company with great management and a unique 7-level referral program and an optimized interface which provides a superior gaming experience for users. I am confident this will play an integral role in building shareholder value on the near term and invaluable relationships for the long-term. We feel DraftFury is going to be worth a lot of money."
"As well, SinglePoint is the only publicly traded company in the US markets I'm aware of that allows shareholders to be involved in the DFS realm. As well, we are ready to file our Form 10 and uplist accordingly."
The Company currently offers skill-based daily fantasy contests for the NBA, NFL and MLB. DraftFury is known for its innovative offerings and users have credited it for originality among other platforms. One such contest is the new Fury Arena, which uses DraftFury's proprietary algorithm to match players of similar skill level so that even the most casual players have a chance to win.
SinglePoint Board Members are pleased with the acquisition. Execs feel this is a terrific flagship transaction in the Company's overall rollup acquisition strategy, with others currently in negotiation.
Eilers Research CEO Todd Eilers estimates "that daily games generated around $2.6 billion in entry fees last year and grow 41% annually, reaching $14.4 billion in 2020." SinglePoint intends to take a noticeable stake in the industry in the interim.
VCs and major media companies have bet big on companies like FanDuel and DraftKings, investing over $300 million into each company over the last year. FanDuel has raised $361 million from media companies like Comcast Ventures, NBC Sports, and Time Warner Investments. Not to be outdone, rival DraftKings has raised $375 million total, including a $300 million round led by Fox Sports.
SinglePoint is a full-service mobile technology and marketing provider. We provide solutions that allow our clients to conduct business transactions, accept donations, and engage in targeted communication through mobile devices. Our products connect small to mid-size companies to their target markets by providing innovative mobile technology at reasonable rates. www.singlepoint.com
DraftFury is a U.S. based company that offers skill-based NBA, NFL, and MLB daily fantasy sports (DFS) contests. DraftFury makes DFS accessible to new and casual players and enhances the experience for existing DFS enthusiasts through the simple Pick'Em format, skill-based matching in Fury Arena, and other proprietary innovations. DraftFury's 7-Level Referral Program generously rewards marketing affiliates for promoting the fun and excitement of DraftFury's contests. DraftFury's user base, prize pools, and revenues continue to trend upwards on a month-to-month basis while a mobile app, eSports, and new site features are all planned additions for the near future. https://www.draftfury.com
Certain statements in this news release may contain forward-looking information within the meaning of Rule 175 under the Securities Act of 1933 and Rule 3b-6 under the Securities Exchange Act of 1934, and are subject to the safe harbor created by those rules. All statements, other than statements of fact, included in this release, including, without limitation, statements regarding potential future plans and objectives of the Company, are forward-looking statements that involve risks and uncertainties. There can be no assurance that such statements will prove to be accurate and actual results and future events could differ materially from those anticipated in such statements.
Technical complications, which may arise, could prevent the prompt implementation of any strategically significant plan(s) outlined above. The Company undertakes no duty to revise or update any forward-looking statements to reflect events or circumstances after the date of this release.
Source: SinglePoint, Inc.
Released May 25, 2016