DraftKings intends to utilize the net proceeds of the Term Loan B for repurchases of a portion of its existing Convertible Notes due 2028 (subject to availability and market conditions) and other general corporate purposes.

In connection with the Term Loan B, DraftKings has launched syndication of, and secured commitments for, a new $750 million senior secured revolving credit facility maturing in 2031 (the "New Revolving Facility") to enhance liquidity and provide additional financial flexibility, which will replace its existing $500 million senior secured revolving credit facility maturing in 2029. DraftKings intends to utilize borrowings under the New Revolving Facility for general corporate purposes; however, the Company expects the New Revolving Facility to remain substantially undrawn at closing.

The consummation of the Term Loan B and New Revolving Facility are subject to market and other conditions.

Disclaimer:This article represents the opinion of the author only. It does not represent the opinion of Webull, nor should it be viewed as an indication that Webull either agrees with or confirms the truthfulness or accuracy of the information. It should not be considered as investment advice from Webull or anyone else, nor should it be used as the basis of any investment decision.