DraftKings is going global after receiving a controlled skill games license from Malta which will allow it operate in several European Union states.
The license allows the company to operate its games in EU member states that have not adopted separate regulations. The company has identified the German market for its initial launch by the end of March.
Jeffrey Haas, the company’s chief international officer told the Wall Street Journal that Germany has a long tradition of season-long fantasy sports, but no major daily fantasy operators in the country.
“We looked at what allowed us to become successful in the U.S., and one of the key factors was that we came into a marketplace where there was already a strong culture of fantasy sports,” Haas said.
DraftKings also operates in the UK under a separate license. The company is currently in negotiations to merge with FanDuel. The two companies offer their games predominantly in the U.S. and Canada. The company expects international business to represent 5 percent of its revenues by the end of this year, and 10 percent by the end of 2018, Haas said.
Haas also said that the move is not a response to new regulations and scrutiny in the U.S.
“We’re running these strategies in parallel,” he told the Journal. “We believe the future of our business in the U.S. is going to be robust.”
