FOX Bet is the latest US sportsbook about to bite the dust.
On Friday, sources reported FOX Bet’s co-parent brands Fox and Flutter Entertainment had reached an accord to shut the sportsbook down as early as August. Flutter will get to keep the customer database and market-access rights, while Rupert Murdoch-owned Fox will retain the FOX Bet brand and the option to buy an 18.6% stake in Flutter’s FanDuel.
The agreement brings an end to what has proven a toxic business partnership for the two firms, underlined by legal battles. Trouble first arrived when Flutter merged with Star, which gave Fox a 2% stake in Flutter and the option to buy 18.6% of FanDuel under a $11.2bn valuation. Flutter believed FanDuel stock to be worth far more, however, and Fox filed a lawsuit to keep the value the same.
According to Bloomberg, the official FOX Bet shutdown announcement could be made as soon as July 31, adding the sportsbook’s name to a list of closed US brands including Fubo Sportsbook and MaximBet. The reason for FOX Bet’s US failure, stated Front Office Sports, was the sportsbook’s “poor reach and tech.”