Underdog’s Valuation Soars to $1.2 Billion

In a significant move highlighting the continued growth of the online sports betting and fantasy sports market, Underdog, a prominent US-based company, has successfully secured $70 million in a Series C funding round. this investment propels the company’s valuation to an remarkable $1.2 billion, officially granting it “unicorn” status. this milestone underscores the increasing investor confidence in the burgeoning sports gaming sector.

spark Capital Leads the Charge

The funding round was spearheaded by Spark Capital, marking their most substantial individual investment in a betting company to date, according to their own statements. Underdog anticipates the total financing volume to reach $100 million upon completion. This new valuation represents a threefold increase compared to the Series B funding round conducted three years prior, demonstrating the company’s rapid ascent in the market.

Focus on the US Market Drives growth

Established five years ago, Underdog distinguishes itself by concentrating exclusively on the US market. Unlike competitors who may adapt international models, Underdog develops proprietary technologies and products specifically tailored to meet the unique demands and preferences of American users. This localized approach has resonated with consumers, contributing to a rapidly expanding user base that now exceeds four million registered users. This makes them one of the fastest-growing entities in the fantasy sports and sports betting arena within the United States.

The US sports betting market is experiencing exponential growth.According to recent industry reports, the market is projected to reach $40 billion in revenue by 2030, fueled by increasing legalization across states and growing consumer interest.

Beyond Betting: Content and Media Investments

Recognizing the importance of engagement and retention in a competitive landscape, Underdog is strategically investing in content and media formats. This proactive approach aims to differentiate the company from its rivals and foster long-term loyalty among its user base.By creating engaging content, underdog seeks to build a stronger connection with its audience beyond traditional betting platforms.

Leadership’s Vision for the Future

We still see enormous potential and want to further increase our innovation speed.

Jeremy Levine, CEO and founder of Underdog, has stated that the newly acquired capital will be strategically allocated towards product development and team expansion. This investment reflects the company’s commitment to continuous improvement and innovation within the sports gaming sector.

Investor Confidence in product and User Experience

The team has proven that it is accomplished were it counts in sports gaming – with the product and the user experience.

Will Reed, General Partner at Spark Capital, highlighted Underdog’s strong product focus as a key factor driving their investment decision. This endorsement underscores the importance of user-centric design and functionality in the competitive sports gaming market.

Notable investors Back Underdog’s Vision

Underdog boasts a diverse and impressive roster of previous investors,including industry giants such as BlackRock and Acies Investment. The company also enjoys the backing of prominent figures from the sports and entertainment worlds, such as NBA team owner Mark Cuban, NFL player Odell Beckham Jr.,former Paddy Power Betfair CEO Breon Corcoran,and Mark Pincus,founder of the gaming company Zynga. This diverse group of investors reflects the broad appeal and potential of Underdog’s business model.