Casino Operator Acquires Full Ownership of Barstool Sports

Penn Entertainment has secured the remaining interest in Barstool Sports for $388 million.

The Philly Business Journal reports the casino operator announced the deal's close on Friday, bringing the total cost of the Barstool acquisition to $551 million three years after it bought an initial 36% stake in the sports media company for $163 million in cash and stock.

The Chernin Group previously owned 60% of Barstool after acquiring majority control of the company in 2016. Its stake decreased to 36% when Penn Entertainment, then called Penn National Gaming, joined ownership in January 2020, with Barstool employees owning the remaining 28% of the company.

Founder David Portnoy

Barstool, founded in 2003, has risen to prominence largely through a digital presence that includes podcasts, video production and commentary on sports and pop culture. The company has amassed 44.5 million followers on its primary social media accounts across TikTok, Twitter and Instagram, with millions of additional followers on its affiliated accounts.

"Barstool is a proven, powerful media brand with an authentic voice and vast, loyal audience that provides us with a strong top of funnel for new customer acquisition and organic cross-selling opportunities across our growing interactive division," Penn Entertainment CEO Jay Snowden said in a statement.

Barstool Sports has grown its reach under Penn Entertainment's ownership. The company has launched its sportsbook app in 13 states since 2020, including New Jersey and Pennsylvania. Penn Entertainment has also opened retail Barstool sportsbooks in its casino properties in Pennsylvania, Illinois, Michigan, Colorado and Virginia, along with four temporary retail sportsbooks in Ohio and one in Massachusetts.

Barstool has also expanded to host major college sporting events, including the Barstool Sports Arizona Bowl and the Barstool Sports Invitational basketball tournament, which was played at the Wells Fargo Center in November.

Since Penn acquired its initial stake in Barstool, the brand has grown its digital audience 194%, totaled over 128 billion views, increased ad sales by 160% and sold more than 5 million units of merchandise, according to the company.