PrizePicks is working with a world-renowned investment bank to help expand its business.
Bloomberg first reported that sources informed them the fantasy sports company has contracted Moelis & Co. to help explore business partnerships for the company.
The DFS giant announced plans in April to build a new 33,000-square-foot headquarters in Atlanta. The facility, within the city’s Star Metals Building, is projected to create 1,000 new jobs over the next seven years.
The HQ is also estimated to have an economic impact of roughly $25 million for Georgia.
PrizePicks is aiming to scale with the help of Moelis & Co. following a fresh injection of capital. According to CB Insights, the DFS operator closed a $8.6 million Series A funding round in March led by Phoenix Capital Ventures. It has a portfolio of investors that also includes former MLB superstar Andruw Jones and former NFL quarterback Matt Ryan.
PrizePicks has leveraged its investor interest by securing partnership deals with the Dallas Stars, Stephen A. Smith Show and UFC bantamweight champion Sean O’Malley.
Moelis & Co worked with PointsBet previously
The DFS operator has hired Moelis & Co. after PointsBet hired the bank in 2023 to facilitate a sale of its North American operations. PointsBet enlisted Moelis & Co. as its online sports betting product failed to reach profitability due to markets dominated by major operators like FanDuel and DraftKings. Earlier this year, Fanatics Betting and Gaming completed its takeover of PointsBet’s U.S. operations for $225 million.
In Q2 2024, Moelis & Co. generated $264.6 million in GAAP revenue, a 47% increase year-over-year. For the first half of 2024, the bank reported $482 million in revenue. By comparison, revenue for the first half of last year closed at $367.7 million.
