Why did DraftKings stock go up? The Golden Nugget merger is set to close

view original post

Matt Cardy/Getty Images News

DraftKings (NASDAQ:DKNG) gained 9.58% on Monday and Golden Nugget Online Gaming (GNOG) jumped 8.98% as the merger between the companies is even closer to the finish line.

A Nasdaq delisting notice on Monday indicated that DNOG shares are expected to be delisted on Wednesday with the close of the sale to DraftKings (DKNG).

Under the terms of the merger, Golden Nugget (GNOG) shareholders will receive 0.365 shares of DKNG stock for each share of GNOG.

DKNG closed at $14.99 on Monday vs. the 52-week trading range of $13.06 to $64.58.

On Wall Street, DraftKings (DKNG) made Morgan Stanley’s new list of its highest conviction stock picks.

DraftKings (DKNG) is also on Seeking Alpha’s Stocks to Watch list with options trading implying a share price move on earnings day of 13%.