DraftKings sells VSiN back to Musburger Media

The amicable split occurs less than four years after the original transaction.

Three and a half years after purchasing VSiN for $70 million, DraftKings is selling the company back to its original owners. 

Last week, Musburger Media announced that it had bought back the company for an undisclosed price. Original co-founders Brian Musburger and Bill Adee will lead the company going forward. Brian is the nephew of legendary broadcaster Brent Musburger. 

VSiN originally launched in 2017, before the nationwide expansion of sports betting. The network experienced rapid growth following the repeal of PASPA. This made the company an attractive buy for DraftKings in 2021.

The company produces up to 18 hours of live sports betting content per day. It broadcasts across local TV markets in Pennsylvania, Maryland, Massachusetts and Nevada. The station also has national radio deals with iHeartRadio and TuneIn. The company expects no disruptions caused by the sale that would impact programming. 

DraftKings will continue to advertise with VSiN

Despite the transaction, there appears to be no hard feelings between the sportsbook operator and the media network. 

“We truly appreciate the work we’ve done with DraftKings and look forward to continuing to collaborate on future projects. Bill and I couldn’t be more excited about leading VSiN into the future and cementing our position as a trusted authority in sports betting,” said Brian Musberger. 

DraftKings released a similar statement. 

“DraftKings continues to optimize its investments in content and media to align with the most critical areas and needs of our business strategy, objectives, and goals,” DraftKings Chief Marketing Officer Stephanie Sherman told the press. “We want to thank Brian, Bill, and the entire team at VSiN for a great relationship, and we look forward to continuing to advertise on the network.”

Moving away from the content game?

This transaction is the latest which signifies a potential change in strategy for sportsbook operators moving forward. Since the legalization of online sports betting, all big-name operators have invested a significant amount of resources into content that will help grow their brand. 

VSiN was an innovative company that had reputable sports media personalities focus solely on sports betting. It launched just in time for the nationwide landscape to change. It appealed to both casual and serious bettors alike. 

While it might have been a worthwhile investment in 2021, it appears DraftKings felt like it squeezed most of the juice out of the orange by 2024. In other words, any potential new customers from VSiN, DraftKings may feel, would have made the leap over the past three and a half years.

While the price that Musburger Media paid to reacquire VSiN is unknown, the transaction is drawing comparisons to the infamous transaction between Penn National Gaming and Barstool Sports. After buying Barstool Sports for $551 million, Penn sold the company back to original founder Dave Portnoy for $1 in 2023. 

Of course, Penn Gaming was forced to make that move so it could enter a deal with ESPN. It’ll be interesting to see if DraftKings has something major up its sleeve in the coming weeks. DraftKings already owns DraftKings Nation, its in-house content program. In addition, it has a $50 million partnership with Meadowlark Media.