Spark Capital announced recently that it is leading Underdog’s Series C funding round, with a $70 million first close on a round expected to exceed $100 million. The funding round values Underdog – the fastest-growing sports gaming company in the U.S. at $1.225 billion pre-money, nearly tripling its Series B valuation from 2022.
Spark’s funding highlights market confidence in Underdog’s continued growth and potential. And it marks the sports gaming industry’s largest investment from Spark Capital.
In an industry dominated by third-party software and platforms originally designed for international markets, Underdog is the only top operator in sports gaming built on its own technology, providing a unique ability to create innovative products and the best customer experience.
As Underdog continues its rapid growth, this funding will primarily enable the company to invest in creating the best products for sports fans in the U.S. and continuing to bring top-tier talent into the company.
Launched in 2020, Underdog has become a dominant player in sports gaming with nearly four million customers nationwide and is now the fourth most downloaded sports gaming app in the U.S., measured by including all sports betting and fantasy sports apps.
Underdog’s offering combines original fantasy sports games and sports betting options with breaking news coverage and a growing roster of original sports programming, including shows like Gil’s Arena, which is now the fifth-largest daily sports show in the country, measured across all mediums.
KEY QUOTES:
“Spark’s investment is a real accelerator. We’re going to continue to invest in people and product – and as fast as we can. There is so much more to build, and we’re going to keep building.”
- Jeremy Levine, CEO and founder of Underdog
“This investment fits Spark’s philosophy of backing products we love from creators we admire. Underdog has proven they can win where it matters most: product. They’ve also shown they can attract top talent from gaming, tech, and sports. Their unwavering focus on product and customer experience is why they’ve emerged as the most innovative player in sports gaming. We see massive opportunity ahead and are thrilled to be on the journey with them to make sports more fun.”
- Will Reed, General Partner at Spark Capital
