Barstool Sports Acquisition, Valuation, Funding & Investors

Barstool Sports was acquired by PENN Entertainment for $606M in February 2023, a 2.4x multiple on $250M of revenue.

Barstool Sports acquisition price

$606M

Acquired by PENN Entertainment · Feb 2023

Barstool Sports revenue at acquisition

$250M

Last twelve months · Feb 2023

Barstool Sports revenue multiple at acquisition

2.4x

EV/Revenue · Feb 2023

Cumulative funding Barstool Sports raised

$178M

across 2 funding rounds

Barstool Sports Overview

About Barstool Sports

Barstool Sports is a New York-based digital media company founded in 2003, producing sports, pop culture, and entertainment content across websites, podcasts, social media, video, events, and television. Acquired by Penn Entertainment in 2023, it reaches millions through platforms like Barstool Sports Radio and pay-per-view events.


Founded

2003

HQ

United StatesNew York City, NY

Status

Acquired

Customer focus

B2C

Revenue model

Advertising, Subscription

Revenue

$250M (Feb 2023)

Valuation

$450M (Jan 2020)

Barstool Sports Acquisition

Barstool Sports was acquired by PENN Entertainment for $606M on 17 February 2023.

The acquisition price implies a 2.4x revenue multiple on $250M of revenue.

Before the acquisition Barstool Sports had raised $178M across 2 funding rounds.

PENN Entertainment completed its acquisition of the remaining 64% stake in Barstool Sports, a digital sports media company known for its website, podcasts, and founder Dave Portnoy's content, for $388 million in February 2023. This followed PENN's initial purchase of a 36% stake for $163 million in 2020, bringing total investment to approximately $551 million, though analysts estimated the company's value at $800 million to $1 billion. The deal aimed to leverage Barstool's media audience for PENN's sports betting expansion via the Barstool Sportsbook app launched in 2021. The acquisition occurred amid challenges for Barstool Sportsbook in capturing market share against competitors, despite PENN's expectations of double-digit presence in operating states. Later in 2023, PENN divested Barstool back to Portnoy for $1 as part of a $2 billion, 10-year ESPN Bet partnership, rebranding the sportsbook while retaining media operations under Portnoy with non-compete terms and revenue sharing on future sales.

Barstool Sports acquisition details
AcquirerDateTypePriceEV/Revenue
17 Feb 2023Strategic M&A$606M2.4x

Barstool Sports Valuation

Barstool Sports is currently valued at $450M, based on its strategic investment round in January 2020.

The $163M round was led by PENN Entertainment.

Barstool Sports' valuation has grown 4.5x from $100M at its undisclosed-stage round in January 2018 to $450M in January 2020, across 2 priced rounds.

Barstool Sports valuation by funding round

Barstool Sports valuation by funding round
DateStageValuation
Jan 2020Strategic investment$450M
Jan 2018Undisclosed stage$100M

Barstool Sports Funding History

Barstool Sports has raised a total of $178M across 2 funding rounds.

Barstool Sports' first fundraising round was a $15M undisclosed-stage round in January 2018. The most recent completed round was a $163M strategic investment round in January 2020.

Barstool Sports funding rounds

Barstool Sports funding rounds
DateStageInvestorsRaisedValuationDeal Summary
Jan 2020Strategic investmentPENN Entertainment (lead)$163M$450MBarstool Sports is a digital-media brand focused on sports content and entertainment that has built a significant following among millennial audiences. In February 2020, the company entered into a strategic partnership with Penn National, a US casino operator, whereby Penn acquired a 36% equity stake in Barstool Sports for $163 million, valuing the company at $450 million on a post-money basis. Penn National, which operates casinos in states where sports betting is legal, made Barstool its exclusive gaming partner. As part of the deal structure, Penn planned to invest an additional $62 million after three years to increase its stake to approximately 50%, and the companies announced plans to launch a Barstool-branded sportsbook in retail casinos and a betting app in August 2020. The Chernin Group, which owned 60% of Barstool before the transaction, retained 36% ownership post-close, with the remainder held by Barstool employees. The transaction reflected a broader trend of gaming and casino companies seeking to partner with established media brands to gain national reach and reduce customer acquisition costs in the competitive sports betting market. PENN's broader acquisition strategy eventually resulted in full ownership, with the company acquiring the remaining 64% stake at a later date for approximately $388 million, bringing total consideration to roughly $525 million.
Jan 2018Undisclosed stageTCG (lead)$15M$100MBarstool Sports is an irreverent sports and lifestyle media platform targeting a young male demographic. In January 2018, it received $15 million in funding from The Chernin Group (TCG), its majority owner, in a deal valuing the company at approximately $100 million. TCG had previously acquired a 51% stake in 2016. The funding brought TCG's total investment to $25 million. Barstool expanded into event promotion by acquiring amateur boxing promoter Rough N Rowdy in November 2016. The company aimed to grow its team to 160 people, expand events, and enter areas like branded alcohol or bars, with founder Dave Portnoy targeting a $250 million valuation within five years. Barstool faced commercial challenges due to its anti-politically correct ethos, including the cancellation of a partnership with ESPN in October 2017 over abusive comments.

Who has invested in Barstool Sports?

2 investors have backed Barstool Sports across its funding rounds, including TCG and PENN Entertainment.

Lead investors include PENN Entertainment and TCG.


Barstool Sports Investors

Investors in Barstool Sports by funding rounds participated
InvestorHQRoundsRoleFirst check

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Benchmark 350K+ Funding Rounds and Disclosed VC Valuation Multiples

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Acquisitions by Barstool Sports

Barstool Sports has acquired 2 companies to date.

Last acquisition by Barstool Sports was on December 21st 2021. Barstool Sports acquired The Water Coolest for undisclosed valuation.


Latest Acquisitions by Barstool Sports

The Water Coolest
Rough N Rowdy Brawl
Description
The Water Coolest is a digital media outlet delivering daily newsletters on business news, market analysis, and unfiltered commentary. Based online, it caters to professionals seeking concise updates on financial developments and industry trends without traditional media bias.
Rough N' Rowdy is a West Virginia-based promoter of amateur boxing events held in Cleveland, Ohio venues like Agora Theatre. Events feature white-collar fighters in themed bouts with gloves and headgear, streamed live on YouTube to over 1 million viewers per card. The series schedules 10-15 fights per night including tag-team and celebrity matches, with tournaments crowning annual champions. Started in 2017, it partners with local bars for watch parties across the Midwest.
HQ CountryUnited StatesUnited States
HQ City
-
Charleston, SC
Deal Date21 Dec 202110 Nov 2017
Valuationundisclosedundisclosed
EV/Revenue
EV/EBITDA

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Barstool Sports Competitors

Barstool Sports competitors include listed companies like WildBrain and Hengxin Shambala Culture, and private ones like Minute Media, Vidaa, Barça Vision and Atmosphere.

Public and private companies comparable to Barstool Sports
CompanyHQStatusRevenueEBITDAValuationRevenue Multiple
Minute MediaUnited KingdomLondonPrivate$300M-$1B3.3x
VidaaUnited StatesAtlanta, GAPrivate--$583M-
Barça VisionSpainBarcelonaPrivate--$468M-
AtmosphereUnited StatesAustin, TXPrivate$25M-$1B40.0x
WildBrainCanadaCanadaPublicly listed$375M$26M$245M1.0x
Hengxin Shambala CultureChinaChinaPublicly listed$58M($44M)$307M-

Barstool Sports Public Comps

Barstool Sports is no longer listed, but its public comps include TV Tokyo Holdings, YG Entertainment, Viaplay, Acast, CJ ENM, NRJ Group, H & R Century Union, Tron, Cover and Ollamani.

Last FYEV/RevenueEV/EBITDA
RevenueEBITDALast FYLTM2027ELast FYLTM2027E
TV Tokyo Holdings$1.1B$104M0.3x0.3x3.2x3.4x
YG Entertainment$397M$73M1.3x1.2x7.1x7.4x
Viaplay$1.8B($40M)0.7x0.6x(29.5x)11.7x
Acast$257M($1M)2.3x1.9x(481.8x)25.7x
CJ ENM$3.7B$1.1B0.6x0.7x2.2x2.6x
NRJ Group$390M$74M0.3x0.3x1.6x1.7x
H & R Century Union$79M($28M)8.0x-(22.6x)-
Tron$5M($17M)140.2x-(40.0x)-

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Common questions about Barstool Sports

When was Barstool Sports founded?Barstool Sports was founded in 2003.
Where is Barstool Sports headquartered?Barstool Sports is headquartered in New York City, NY, United States.
Is Barstool Sports publicly listed?No, Barstool Sports was acquired by PENN Entertainment in February 2023.
Who acquired Barstool Sports?Barstool Sports was acquired by PENN Entertainment in February 2023.
How much was Barstool Sports acquired for?Barstool Sports was acquired for $606M in February 2023, a 2.4x revenue multiple.
What is Barstool Sports' valuation?Barstool Sports was last valued at $450M in its strategic investment round in January 2020.
How much funding has Barstool Sports raised?Barstool Sports has raised $178M across 2 funding rounds.
What was Barstool Sports' last funding round?Barstool Sports' last funding round was a $163M strategic investment round in January 2020, led by PENN Entertainment.
Who are Barstool Sports' investors?Barstool Sports' investors include TCG and PENN Entertainment.
Which companies are comparable to Barstool Sports?Companies comparable to Barstool Sports include Minute Media, Vidaa, Barça Vision, Atmosphere, WildBrain and Hengxin Shambala Culture.
How many companies has Barstool Sports acquired?Barstool Sports has acquired 2 companies, including The Water Coolest and Rough N Rowdy Brawl.

See companies similar to Barstool Sports

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