FanDuel Board Lawsuit and Company Merger Explained

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Transcript

00:00Let's get to FanDuel now.

00:05I saw this story that you have posted a legal sports report.

00:07I would encourage people to read this and certainly can make your own judgment from it.

00:11But it involves a lawsuit.

00:13I see a Nigel Eccles name mentioned in here for some of the things that he posted on social media.

00:18Actually, I met Nigel many years ago when FanDuel launched their Daily Fantasy product.

00:22In fact, I had him on shows and things like that.

00:24What exactly happened yesterday?

00:25And what is this lawsuit all about?

00:28So here's what we have going on, Craig.

00:30When Paddy Power Betfair merged with FanDuel to become this Flutter company, this larger company,

00:39FanDuel shareholders got 40% of the company.

00:43The problem is that allegedly the valuation of FanDuel was, you could say, maybe messed with a little bit.

00:56So the valuation didn't hit the point where all shareholders got paid out.

01:01Only preferred shareholders would get paid out in this, which winds up giving them a bigger stake.

01:07It was finally ruled a couple months ago that this lawsuit can go forward with co-founder Nigel Eccles

01:14and others who are still looking to be paid from that transaction.

01:17So yeah, I would also encourage anyone to go read this, Craig.

01:21Have fun reading the 216-page file that details exactly how all this went down.

01:29But yeah, really interesting story there, Craig.