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Business Combinations (Tables) | 12 Months Ended
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Dec. 31, 2025
Business Combination, Asset Acquisition, Transaction between Entities under Common Control, and Joint Venture Formation [Abstract] |
Summary of Consideration Transferred at Closing | The following is a summary of the consideration issued or paid on the Railbird Acquisition Date:
Cash consideration | $ | 18,296 |
Equity consideration (1) | 28,708 |
Contingent consideration (2) | 37,785 |
Total consideration | $ | 84,789 |
(1)Includes the issuance of approximately 0.9 million shares of DraftKings Inc.’s Class A common stock issued at $33.62 per share. (2)The Company recorded a fair value estimate of the contingent consideration, as disclosed in “Note 8 – Fair Value Measurement”. Contingent payments have a maximum value of up to $200 million, 47.5% of which will be contingent consideration and 52.5% of which will be recorded as compensation under ASC 805. The payments will be settled, at the Company’s option, in shares of the Company’s Class A common stock or in a combination of shares of the Company’s Class A common stock and cash; provided that, for each Railbird equityholder that is an accredited investor, shares of the Company’s Class A common stock will represent at least 70% of the contingent consideration such equityholder receives. The Company’s Class A common stock to be issued as contingent payment will be valued on the basis of a 30-day volume-weighted average price of the Company’s Class A common stock determined at or around the issuance thereof based on certain post-closing performance metrics. The following is a summary of the consideration issued or paid on the Jackpocket Closing Date:
Cash consideration | $ | 452,322 |
Equity consideration (1) | 320,783 |
Total consideration | $ | 773,105 |
(1)Includes the issuance of approximately 7.5 million shares of DraftKings Inc.’s Class A common stock issued at $41.90 per share and 6.2 million of options exercisable for shares of DraftKings Inc.’s Class A common stock, which were issued to certain Jackpocket employee option holders in exchange for their Jackpocket options. The following is a summary of the consideration issued or paid on the Simplebet Closing Date:
Cash consideration | $ | 35,965 |
Equity consideration (1) | 45,145 |
Contingent consideration (2) | 53,535 |
Total consideration | $ | 134,645 |
(1)Includes the issuance of approximately 1.0 million shares of DraftKings Inc.’s Class A common stock issued at $43.97 per share. (2)Contingent consideration of up to 3.5 million shares of DraftKings Inc.’s Class A common stock may be payable through December 31, 2026, subject to the achievement of certain future performance targets for the Company as a whole. The Company recorded a fair value estimate of the contingent consideration, as disclosed in “Note 8 – Fair Value Measurement”.
Summary of Purchase Price Allocation | The following table summarizes the preliminary fair value of the assets acquired and liabilities assumed in connection with the consummation of the Railbird Transaction on the Railbird Acquisition Date. The values set forth below are preliminary, pending finalization of valuation analyses:
Cash and cash equivalents | $ | 181 |
Restricted Cash | 1,734 |
Intangible assets | 58,090 |
Deposits and other non-current assets | 6 |
Total identifiable assets acquired | 60,011 |
Liabilities assumed: |
Accounts payable and accrued expenses | 52 |
Other long-term liabilities | 15,365 |
Total liabilities assumed | 15,417 |
Net assets acquired (a) | 44,594 |
Purchase consideration (b) | $ | 84,789 |
Goodwill (b) – (a) | $ | 40,195 |
The following table summarizes the fair value of the assets acquired and liabilities assumed in connection with the consummation of the Jackpocket Transaction on the Jackpocket Closing Date:
Cash and cash equivalents | $ | 45,999 |
Cash reserved for users | 23,349 |
Receivables reserved for users | 9,092 |
Prepaid expenses and other current assets | 4,151 |
Property and equipment | 1,523 |
Intangible assets | 269,736 |
Operating lease right-of-use assets | 2,579 |
Deposits and other non-current assets | 136 |
Total identifiable assets acquired | 356,565 |
Liabilities assumed: |
Accounts payable and accrued expenses | 33,961 |
Liabilities to users | 16,877 |
Operating lease liabilities | 2,580 |
Other long-term liabilities | 80,463 |
Total liabilities assumed | 133,881 |
Net assets acquired (a) | 222,684 |
Purchase consideration (b) | 773,105 |
Goodwill (b) – (a) | $ | 550,421 |
The following table summarizes the fair value of the assets acquired and liabilities assumed in connection with the consummation of the Simplebet Transaction on the Simplebet Closing Date:
Cash and cash equivalents | $ | 5,002 |
Accounts receivable | 931 |
Prepaid expenses and other current assets | 282 |
Operating lease right-of-use assets | 144 |
Property and equipment | 32 |
Intangible assets | 62,120 |
Total identifiable assets acquired | 68,511 |
Liabilities assumed: |
Accounts payable and accrued expenses | 4,657 |
Operating lease liabilities | 144 |
Other long-term liabilities | 14,551 |
Total liabilities assumed | 19,352 |
Net assets acquired (a) | 49,159 |
Purchase consideration (b) | 134,645 |
Goodwill (b) - (a) | $ | 85,486 |
Summary of Intangible Assets |
| Fair Value |  | Weighted- Average Useful Life
Customer Relationships | $ | 174,000 |  |  | 8.0 years
Developed Technology | 67,000 |  |  | 5.0 years
Trade Name | 27,000 |  |  | 7.0 years
Market Access | 1,736 |  |  | 2.9 years
Total | $ | 269,736 |  |  |

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