Spark Capital Leads Underdog Series C, Pushing Valuation Over $1.2 Billion

Spark’s Investment in Underdog is Silicon Valley’s Largest Bet on Sports Gaming

BROOKLYN, N.Y.--(BUSINESS WIRE)--In a landmark moment for the online sports gaming industry, Spark Capital is leading Underdog’s Series C funding round, with a $70 million first close on a round expected to exceed $100 million. The raise 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 investment underscores market confidence in Underdog’s continued growth and potential. It marks the sports gaming industry’s largest investment from a top-tier Silicon Valley venture capital firm.

Underdog’s focus is creating the best experience for American sports fans, which has driven the company’s rapid growth. 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, the funding will primarily allow the company to further invest in creating the best products for sports fans in the U.S. and continuing to bring top-tier talent into the company.

“Spark’s investment is a real accelerator,” said Jeremy Levine, CEO and founder of Underdog. “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.”

Founded 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 comprehensive 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.

“This investment fits Spark’s philosophy of backing products we love from creators we admire,” said Will Reed, General Partner at Spark Capital. “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."

About Underdog

Underdog, the fastest-growing sports gaming company in the U.S., was founded in 2020 with a simple objective to make sports more fun. The company’s core operating principle: There’s so much more to be built for sports fans in America. As the only top-tier sports gaming operator in the country built on its own proprietary technology, Underdog has a unique ability to create new, engaging products for the U.S. consumer. Underdog’s products provide the best way to enjoy fun, approachable sports games. The company offers fantasy sports games, licensed sports betting, and a growing media network featuring former professional athletes, coaches, analysts, and the fastest breaking news. Underdog is built for and by sports fans to make sports more fun. For more information, visit underdogfantasy.com