DraftKings Inc. f/k/a Diamond Eagle Acquisition Corp. Securities Fraud Class Action

Case Background:

This is a federal securities fraud class action lawsuit on behalf of those who purchased or otherwise acquired DraftKings Inc. (“DraftKings”) (NASDAQ: DKNG) securities between December 23, 2019 and June 15, 2021, inclusive (the “Class Period”). 

The complaint alleges that throughout the Class Period, Defendants made false and/or misleading statements and/or failed to disclose that: (1) SBTech had a history of unlawful operations; (2) accordingly, DraftKings’ merger with SBTech exposed it to dealings in black-market gaming; (3) the foregoing increased DraftKings’ regulatory and criminal risks with respect to these transactions; (4) as a result of all the foregoing, DraftKings’ revenues were, in part, derived from unlawful conduct and thus unsustainable; (5) accordingly, the benefits of the Business Combination were overstated; and (6) as a result of the foregoing, Defendants’ statements about the company’s business, operations, and prospects were materially false and misleading and/or lacked a reasonable basis at all relevant times.

Current Status of Case:

On January 10, 2023, the Court granted Defendants’ Motion to Dismiss. This action has concluded.  

If you wish to discuss this action or have any questions, please contact Kessler Topaz Meltzer & Check, LLP: Jon Naji, Esq. (484) 270-1453; toll-free at (844) 887-9500; or via e-mail at [email protected]. If you would like additional information about the suit, please click on the link "Submit Your Information" above and fill out the form as promptly as possible.