Investigation announced for Investors in DraftKings Inc. (NASDAQ: DKNG) over possible Violations of Securities Laws

An investigation was announced concerning potential securities laws violations by DraftKings Inc. in connection with certain financial statements.

Investors who purchased shares of DraftKings Inc. (NASDAQ: DKNG), have certain options and should contact the Shareholders Foundation at mail@shareholdersfoundation.com or call +1(858) 779 - 1554.

The investigation by a law firm focuses on whether a series of statements by DraftKings Inc. regarding its business, its prospects and its operations were materially false and misleading at the time they were made.

Boston, MA based DraftKings Inc. operates as a digital sports entertainment and gaming company in the United States. It operates through two segments, Business-to-Consumer and Business-to-Business. DraftKings Inc. reported that its annual Total Revenue rose from $323.41 million in 2019 to $641.53 million in 2020, and that its Net Loss increased from $142.73 million in 2019 to $844.27 million in 2020.

Last year DraftKings Inc. went public in a 3-way merger between DraftKings, its SPAC sponsor, and a Bulgaria-based gaming technology company called SBTech.

On June 15, 2021, Hindenburg Research issued a report concerning DraftKings Inc. (NASDAQ: DKNG) entitled "DraftKings: A $21 Billion SPAC Betting It Can Hide Its Black Market Operations." Hindenburg Research detailed a series of disturbing red flags about DraftKings. Specifically, the report stated, "Unbeknownst to investors, DraftKings' merger with SBTech also brings exposure to extensive dealings in black-market gaming, money laundering and organized crime. Based on conversations with multiple former employees, a review of SEC & international filings, and inspection of back-end infrastructure at illicit international gaming websites, we show that SBTech has a long and ongoing record of operating in black markets."

Shares of DraftKings Inc. (NASDAQ: DKNG) declined from $72.16 per share on March 3, 2020, to as low as $44.65 per share on June 15, 2021.

Those who purchased shares of DraftKings Inc. (NASDAQ: DKNG) have certain options and should contact the Shareholders Foundation.

Contact:
Michael Daniels
Shareholders Foundation, Inc.
3111 Camino Del Rio North
Suite 423
San Diego, CA 92108
Tel: +1-(858)-779-1554
E-Mail: mail@shareholdersfoundation.com

About Shareholders Foundation, Inc.
The Shareholders Foundation, Inc. is a professional portfolio monitoring and settlement claim filing service, and an investor advocacy group, which does research related to shareholder issues and informs investors of securities lawsuits, settlements, judgments, and other legal related news to the stock/financial market. Shareholders Foundation, Inc. is in contact with a large number of shareholders and offers help, support, and assistance for every shareholder. The Shareholders Foundation, Inc. is not a law firm. Referenced cases, investigations, and/or settlements are not filed/initiated/reached and/or are not related to Shareholders Foundation. The information is provided as a public service. It is not intended as legal advice and should not be relied upon.

This release was published on openPR.