FanDuel Announces $275 Million Series E Financing from KKR, Google Capital, and Time Warner

On July 14, 2015, FanDuel Inc., the largest one-day fantasy sports operator, announced that it has closed $275 million in Series E financing, bringing the company's total capital raised to $363 million. The oversubscribed round was led by KKR with Google Capital and Time Warner Investments, with Turner Sports also joining. A number of NFL and NBA team owners participated in the round along with previous investors, including Shamrock Capital, NBC Sports Ventures, Comcast Ventures, Bullpen Capital, Pentech Ventures, and Piton Capital. Wilson Sonsini Goodrich & Rosati represented KKR in the transaction.

FanDuel continues to grow rapidly, with paid active users growing 300 percent from the same period last year. The financing will be used to increase customer acquisition efforts across the U.S.; accelerate the introduction of new products, features, and growth initiatives to serve the company's mission to create the ultimate fan experience; and to build out its industry-leading management team.

In the press release announcing the transaction, KKR's Ted Oberwager said: "We are thrilled to support FanDuel's next phase of growth given the company's leading position in the daily fantasy market, model operating principles, highly efficient customer acquisition capabilities, and visionary management team. FanDuel is poised to become the most engaging digital entertainment platform for sports fans around the world."

WSGR's team of attorneys representing KKR in the transaction includes Todd Cleary, Parag Gheewala, Aaron Hendelman, Paul Jin, Paul McGeown, and Jonathan Zhu.