DraftKings Inc. (NASDAQ: DKNG) shares got some air on Wednesday after the firm added a basketball legend to its team. Michael Jordan, “His Airness,” will be joining DraftKings as a special advisor to the board of directors.
As part of this deal, the NBA Hall of Fame inductee, six-time NBA Finals MVP and Chair of Hornets Sports & Entertainment has agreed to take an equity interest in DraftKings in exchange for providing guidance and strategic advice to the board of directors on key business initiatives.
Management was quick to say that Jordan is one of the most important figures in the pantheon of sports and culture. Jason Robins, co-founder and CEO, even said that Jordan “forever redefined the modern athlete and entrepreneur.” As a result, the strategic counsel and business acumen Jordan brings to the board is considered “invaluable.”
As a special advisor, Jordan will provide strategic and creative input to the board of directors on company strategy, product development, inclusion, equity and belonging, marketing activities and other key initiatives.
The company did not disclose the equity stake that Jordan would be receiving.
DraftKings came public earlier this year and, since then, the stock was up about 245%, excluding Wednesday’s move. In the past six months alone, the stock was up about 98%.
DraftKings stock traded up about 10% to $40.73 on Wednesday, in a 52-week range of $9.84 to $44.79. The consensus price target is $47.45.