Why DraftKings Shares Are Tumbling Today

DraftKings Inc DKNG is trading lower Tuesday after the company made an offer to acquire Entain for $20 billion.

Entain is a U.K.-based online sports betting company. The company confirmed that it received a stock and cash proposal from DraftKings in a filing with the London Stock Exchange. 

Entain rejected an all-stock offer from MGM Resorts International MGM earlier this year worth about $11 billion at the time.

DraftKings is a digital sports entertainment and gaming company that went public via SPAC last year. 

DKNG Price Action: DraftKings has traded as high as $74.38 and as low as $34.90 over a 52-week period.

The stock was down 8.05% at $52.42 at time of publication.

Photo: World Poker Tour from Flickr.