FuboTV, the sports-focused streaming service, is merging with entertainment company FaceBank, the two companies announced on Monday morning. As part of the deal, FaceBank, in a filing with the SEC on Monday, said it had secured a $100 million revolving line of credit for FuboTV to use.
Once the merger is complete, FuboTV will become a subsidiary of FaceBank and the company will be renamed FuboTV Inc. David Gandler, FuboTV’s chief executive, will remain as CEO of the new firm.
“The business combination of FaceBank Group and FuboTV accelerates our ability to build a category-defining company and supports our goal to provide consumers with a technology-driven cable TV replacement service for the whole family,” Gandler said in a statement. “With our growing businesses in the U.S., and recent beta launches in Canada and Europe, FuboTV is well-positioned to achieve its goal of becoming a world-leading live TV streaming platform for premium sports, news and entertainment content.”
He added: “In the current COVID-19 environment, stay-at-home stocks make perfect sense – we plan to accelerate our timing to uplist to a major exchange as soon as practicable. We look forward to working with John and his team of creative visionaries.”
The deal has been approved by the boards of each company. FaceBank will send an initial $10 million loan to FuboTV as part of the agreement by April 1. FuboTV’s basic monthly subscription costs $55, with the service carving out a niche as a go-to spot for sports fans looking to cut the cord, offering NBA TV, NBC Sports Network, Fox Sports, and the NFL Network — along with Fox, CBS, and NBC on the network side.