The Chernin Group is in advanced talks to sell a majority stake in controversial sports and culture media company Barstool Sports to gambling company Penn National Gaming, according to multiple reports.
Barstool was last valued at around $100m following an additional $15m investment in the digital media company by the Chernin Group, an investment firm led by former News Corp executive Peter Chernin, in January 2018. The Chernin Group initially purchased a majority stake in Barstool in early 2016.
The Pennsylvania-based Penn National operates 41 properties in 19 US states, including the Hollywood Casino in Bangor, Maine, and the Greektown Casino-Hotel in Detroit, Michigan. It is believed that Penn National is looking to acquire the Barstool brand to move into online sports betting. Barstool has its own free gambling platform Barstool Bets and provides a significant amount of gambling-focused content.
Barstool founder Dave Portnoy told The Big Lead in a statement: “We continue to speak or have spoken with everybody from DraftKings to FanDuel to Stars to PointsBet to Penn to Willam Hill to MGM to Rush Street, etc. I think that if we aligned ourselves with one company with a shared vision, that company would have an extraordinary advantage in the race to becoming the leading gambling company in the United States.”