Penn To Divest Barstool Sports To Founder Dave Portnoy In Exchange For Certain Non-Compete And Other Restrictive Covenants
Portfolio Pulse from Benzinga Newsdesk
Penn National Gaming (PENN) has divested 100% of its Barstool Sports common stock to founder David Portnoy in exchange for certain non-compete and other restrictive covenants. PENN also retains the right to receive 50% of the gross proceeds from any future sale or monetization event of Barstool.

August 08, 2023 | 8:27 pm
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NEUTRAL IMPACT
PENN's divestment of Barstool Sports could potentially free up resources for other investments, while the non-compete and restrictive covenants may protect PENN's interests. The right to 50% of future sale proceeds could provide future income.
The divestment of Barstool Sports by PENN could be seen as a strategic move to free up resources for other investments. The non-compete and restrictive covenants could protect PENN from potential competition. The right to 50% of future sale proceeds could provide a significant income stream in the event of a future sale or monetization event of Barstool.
CONFIDENCE 85
IMPORTANCE 75
RELEVANCE 100