Genius Sports Acquires Legend and Shares Promising 2025 Financial Outlook
Genius Sports to Acquire Legend in a $1.2 Billion Deal
Genius Sports, a leading data, technology, and broadcast partner serving the global sports, betting, and media industries, has announced a definitive agreement to acquire Legend, a global digital sports and gaming media network renowned for its ability to monetize audience attention.
The acquisition deal is valued at up to $1.2 billion, which includes an upfront payment of $900 million and an additional earnout potential of $300 million. The upfront payment will be financed primarily through an $850 million Term Loan B issuance.
This strategic move is expected to immediately enhance Genius Sports’ business performance by boosting adjusted EBITDA margins and improving free cash flow conversion. The company also anticipates sustaining a compound annual growth rate (CAGR) of at least 20% in group revenue through 2028.
With the acquisition, Genius Sports projects that their group revenue will reach around $1.1 billion in 2026, accompanied by an adjusted EBITDA ranging between $320 million and $330 million, and a free cash flow conversion rate of approximately 50%.
Legend specializes in maximizing sports audience engagement and monetization through advanced marketing technology. In 2025, Legend attracted 320 million visits annually from 118 million unique users. Integrating Legend into the Genius Sports ecosystem will significantly expand its reach to a highly engaged sports and gaming audience.
Mark Locke, CEO of Genius Sports, emphasized that this acquisition accelerates their strategic goals, enhances fan monetization, and creates a comprehensive sports and gaming media network. Similarly, Legend’s founder, Nick Kisberg, expressed enthusiasm about the collaboration, highlighting the synergies between the two leading teams and the new opportunities this partnership brings.
Strong Preliminary Financial Results for 2025 and Positive Outlook for 2026
Alongside the acquisition announcement, Genius Sports released its preliminary financial results for 2025. The company expects to close the year with revenues totaling approximately $669 million, marking a 31% increase compared to the previous year.
Adjusted EBITDA is forecasted at $136 million, reflecting a substantial 59% year-over-year growth, with an estimated adjusted EBITDA margin of 20%.
By the end of 2025, Genius Sports is projected to hold $281 million in cash and cash equivalents, providing strong financial flexibility.
Looking ahead to 2026, the company anticipates group revenues between $810 million and $820 million, alongside adjusted EBITDA in the range of $180 million to $190 million. These projections suggest year-over-year growth rates of 22% for revenue and 36% for adjusted EBITDA, with an expected EBITDA margin improvement to 23%.
