Barstool Sports is now wholly owned by casino operator and entertainment company Penn Entertainment, which on Friday completed its previously announced acquisition of the property. Penn said it paid $388 million for a 64% stake in Barstool it didn’t already own.
In January 2020, Penn Entertainment, formerly known as Penn National Gaming, paid $163 million for a 36% stake in Barstool Sports, with former owner Chernin Group remaining with the same percentage stake. Barstool founder Dave Portnoy sold majority control of Barstool to Peter Chernin’s Chernin Group in 2016. That initial deal included a path for Penn to establish full control and ownership of Barstool Sports.
Founded in 2003 as a sports and gambling blog by Portnoy, Barstool has “evolved into a leading digital player in sports, lifestyle and entertainment,” according to the companies. Barstool Sports and Portnoy have also been embroiled in controversies over past sexist and racist content on the website.
“We are thrilled to welcome Barstool Sports fully into the Penn Entertainment family,” Penn Entertainment CEO and president Jay Snowden said in a statement. “Barstool is a proven, powerful media brand with an authentic voice and a large, loyal audience that gives us a strong top of the funnel for new customer acquisition and organic cross-selling opportunities in our growing interactive division.”
Portnoy said in a statement: “Barstool Sports is bigger than ever and has become more than I ever dreamed. I’m so grateful to the Barstool team and Stoolies for coming along for the ride. I look forward to the next chapter with Penn.
In the three years since Penn first invested in the company, Barstool Sports says it has grown its audience 194% and currently has more than 200 million followers across platforms. Barstool produces and distributes more than 100 shows spanning podcasts, videos, social media, live events and pay-per-view, and runs a commercial business. In addition, together with Penn, it launched the Barstool Sportsbook online betting platform, which currently resides in 15 states.
In last week’s episode of differentOn the “Strictly Business” podcast Barstool CEO Erika Ayers said, “The vision of what Penn wants and the vision that Dave and I have for the business are very much aligned.”
“The way we talk about sports betting is to make it more of a conversation, and to really make sports betting an organic, real and integrated part of what we do,” Ayers said in podcast.
Penn Entertainment operates 43 casinos and gaming properties in 20 states, as well as online sports betting in 16 jurisdictions and iCasino in five jurisdictions under a portfolio of brands including Hollywood Casino, L ‘Auberge, Barstool Sportsbook, and the Score Bet Sportsbook and Casino.
