To build the ESPN BET sportsbook, Penn gives up the Barstool.

For once, it wasn't anything provocative a Barstool celebrity said that stunned the sports betting market today, but Penn Entertainment. In reality, Penn Entertainment is part of a massive multi-billion dollar collaboration is completely dumping Barstool Media and renaming its current sportsbook ESPN BET. For ten years, Penn will have sole use of the ESPN BET trademark according to the agreement. In return, Penn will give ESPN around $500 million in stock warrants and pay them $1.5 billion in cash. Penn predicts that the transaction would boost the company's bottom line by $500 million to $1 billion in adjusted long-term EBITDA.