Barstool has signed a $163 million deal with Penn National. That amount will get the casino company a 36% stake in the brand. Pricing 36% of the company at $163 million gives Barstool a valuation of $450 million.
Penn National plans to take full advantage by launching a Barstool-branded sports betting platform.
The Barstool audience is a coveted market. It is made up mostly of millennial, and is fiercely loyal to the company’s founder and president Dave Portnoy and other personalities like PFT Commenter, Big Kat, and KFC.
The 36% of Barstool that Penn National is purchasing will come from the 60% of the company owned by the Chernin Group. The deal also calls for another $62 million investment in three years. That would bring Penn National’s stake in Barstool to 50%.
