Genius Sports Group, a portfolio company of Apax Partners, and dMY Technology Group, Inc. II, a blank check company, have agreed to merge. As a result of the transaction that has an enterprise value of about $1.5 billion, GSG and dMY II shareholders will exchange their shares for shares in a new combined company, which will be publicly listed on the New York Stock Exchange. Apax will remain the the largest shareholder of the combined company. GSG is a provider of sports data, content, and technology powering the global sports, betting, and media ecosystem.
27 October 2020: Genius Sports Group (“GSG” or “Genius”), a portfolio company of Funds advised by Apax Partners (“Apax” or “Apax Funds”), and dMY Technology Group, Inc. II (NYSE: DMYD) (“dMY II”), a publicly traded special purpose acquisition company, today announced that they have entered into a definitive business combination agreement (the “Business Combination Agreement”) pursuant to which GSG and dMY II will combine. As a result of the business combination, GSG and dMY II shareholders will exchange their shares for shares in a new combined company, which will be publicly listed on the New York Stock Exchange (the “NYSE”). The transaction implies a pro forma enterprise value of approximately $1.5 billion. The Apax Funds will remain the largest single shareholder of the combined company.
Founded in 2000, Genius Sports Group is a leading provider of sports data, content, and technology powering the global sports, betting, and media ecosystem. The company’s technology both empowers sports leagues to capture, manage, and distribute live data and video and provides sports betting operators with secure, high-quality data and content. Genius maintains long-term partnerships with over 500 sports organizations globally, including the NBA, NCAA, FIBA, FIFA, English Premier League, and NASCAR.
Recognising the enormous growth potential of sports data and technology, the Apax Funds acquired Genius in 2018. In the two years since, the Apax Funds have supported GSG Founder and CEO Mark Locke’s efforts to expand the company’s international footprint and develop innovative new technologies and services. Today, Genius provides data on over 240,000 events each year – effectively every hour of every day. It is the official provider for over 170,000 of these events.
The Apax Funds have a strong track record of investing in the software sub-sector, having completed 14 investments over the past 15 years across multiple geographies, including Duck Creek Technologies, Epicor and Sophos.
Gabriele Cipparrone, Partner at Apax Partners, said: “We are proud to have partnered with Mark Locke and his team of experienced and driven entrepreneurs over the last two years. Pairing Apax’s operational expertise with Genius’ peerless technology and reputation for high-integrity data has created a game-changing and indispensable technology player that is driving the rapid expansion of the industry it serves. We look forward to continuing our partnership with Genius.”
Mark Locke, Chief Executive Officer of Genius Sports Group said: “I greatly appreciate the support and counsel that Apax provided during this critical time in GSG’s growth. Together, we have created a comprehensive digital infrastructure connecting the global sports betting ecosystem. We look forward to continuing our growth as a listed company and are proud to count the Apax Funds as our largest investor.”
The transaction will require the approval of dMY II’s shareholder, and is subject to other customary closing conditions.
About Apax Partners LLP
Apax Partners is a leading global private equity advisory firm. Over its more than 40-year history, Apax Partners has raised and advised funds with aggregate commitments of approximately $50 billion. The Apax Funds invest in companies across four global sectors of Tech & Telco, Services, Healthcare and Consumer. These funds provide long-term equity financing to build and strengthen world-class companies.
About Genius Sports
Genius sports is the official data, technology and commercial partner that powers the global ecosystem connecting sports, betting and media. The company is a global leader in digital sports content, technology and integrity services. Its technology is used in over 150 countries worldwide, empowering sports to capture, manage and distribute their live data and video, driving their digital transformation and enhancing their relationships with fans.