(Bloomberg) -- Endeavor Group Holdings Inc., the talent agency and media group, agreed to buy the sports gambling company OpenBet from Scientific Games Corp. for $1.2 billion in cash and stock.

The acquisition will build Endeavor’s position in the growing sports-betting industry, the company said Monday in a statement. Endeavor already operates IMG Arena, which works with sportsbooks to deliver official live streaming video and data feeds.

The deal combines companies that work with both major gaming companies and sports leagues. OpenBet’s clients include DraftKings Inc., FanDuel, WynnBet, SkyBet, Ladbrokes and William Hill. IMG Arena’s lineup includes the PGA tour, Ryder Cup, UFC and others.

Under the terms, Scientific Games will receive $1 billion in cash and $200 million of Endeavor Class A shares.

Shares of Endeavor rose as much as 7.9% to $29.48 in extended trading after the announcement before retreating somewhat. Scientific Games was halted. It closed up 2.1% to $82.95 at the close of regular trading in New York.

 

 

 

 

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