New York-based sports betting startup, The Action Network Inc. on Thursday announced that it had raised a whopping $17.5 million in series B funding. According to a statement released by the startup were the owners of the Chicago Cubs as well as other team owners from basketball, baseball, hockey and even the former owners of the Ultimate Fighting Championship.
This round of funding was led by Fertitta Capital and is expected to help the company to further its mandate to provide its uses with contents and analytics around sports betting. Fertitta Capital is a private equity firmed that was founded by the Fertitta writers after, in 2016, they sold Ultimate Fighting for $4 billion. Known for their considerably significant presence in the casino industry, the investment in The Action Network will be their first one outside the state of Nevada.
The Action Network has plans to capitalize on the rather rapid spread of legal sports betting in the United States which has been the case since May last year when the county’s Supreme lifted the federal ban sports betting. Its subscription-based service that offers data and analysis for sports bettors comes in the wake of more states cozying up to legal sports betting. There are currently about 8 states that have legalized sports betting with a dozen more expected to join the bandwagon in the near future.
Founded in January 2018, The Action Network has been providing its customers with tools designed to help them win their bets are at least come close to doing so. Thanks to the landmark Supreme Court decision, the startup has been able to market and offer its subscription-based analysis as well as insights from popular personalities like former ESPN business reporter Darren Rovell. Through its app, the company has been able to deliver some of the most accurate real-time betting information in the industry while at the same time offering the users the ability to track their wagers.
“The Action Network is the benchmark for modern sports betting data, content, and analytics,” Patrick Keane, CEO of The Action Network, commented “… we see an incredible opportunity as we focus on securing the necessary approvals in regulated US sports betting jurisdictions as well as those around the world.”
Controversial Move for the Cubs’ Owners
While having team owners from major leagues contribute to their series B has been a great thing for The Action Network not everyone is amused by it especially from the sides of some of the teams. The most noticeable concern was expressed with regards to a recent press conference where Tom Ricketts, the Cubs chairman made the claim that the team did not have any money to pursue free agents. While the specific amount contributed by the team was not divulged, it is surprising that the team owners would opt for such an investment while claiming to be broke.
