LSR: DraftKings Long Term Incentive Plan

Legal Sports Report Podcast (LSR) in detail talked about how the co-founders of DraftKings received more than half a billion dollars due to the recent sharp increase in the company's inventory.

Who is this?

Adam Candy , LSR Managing Editor

Matt Brown leading LSR

Dustin Hooker , head of LSR content department

What do they say?

"The history we outlined in Brad Allen's Legal Sports Report about last year's DraftKings Executive Compensation is a really important story for understanding how sports betting companies go public and what can be on the other side of those things.

“Not that it's necessarily nefarious or anything - I think it's important to understand when we're talking about rising stock prices, when we're talking about how that compares to revenue, and when we're talking about EBITDA for those companies, what could be another piece of history?

“Last year, we learned that the top five DraftKings executives earned over $500 million in compensation. Of course, this number seems huge, but you have to consider it in context. If you put this in context, you can see that the next largest group that was ranked in this report by Brad Allen claims that the average CEO compensation is around $400 million, especially when it comes to Jason Robins .

“The peer group median that was used was about $8.3 million and Jason Robins had over $200 million, so the question is, how does that happen? And what led to this? It so happened that before going public, DraftKings developed a long-term incentive plan that could work in many directions.

“I thought it was interesting that only one of them had to be compensated in order to pay compensation, and there are many ways to raise the stock price. When you spend at the level that DraftKings spends, you can certainly give the impression that everything is going in your direction, even when we see it was a mixed bag.”

Why should I watch this?

To hear about some of the latest developments in sports betting in the US, including the rise in DraftKings stock and how Canada and Louisiana are getting closer and closer to legal singles sports betting.

Where can I see more?

Source: LSR YouTube channel

The post "Long Term Incentive Plan" LSR: The DraftKings first appeared on GamblingTV.com.