Top NFL draft pick Joe Burrow isn't the only one celebrating Friday morning. So are investors in DraftKings, the online gambling and fantasy sports company that debuted on the Nasdaq Friday.
Shares of DraftKings (DKNG) rose nearly 15% in early trading. The company went public through a merger with a so-called special purpose acquisition company (SPAC) named Diamond Eagle Acquisition Corp.
Merging with a "blank check" firm has recently become a more popular way for private companies to go public. Richard Branson's Virgin Galactic (SPCE) also debuted on Wall Street via a deal with a SPAC.
DraftKings is picking a strange time to go public though. There is a dearth of live sports to bet on right now given that professional baseball, basketball and hockey are all on hiatus because of the Covid-19 pandemic. But DraftKings CEO Jason Robins told CNN Business that gamblers are finding other things to wager on -- such as esports and Russian table tennis.