{
  "docId": "019dd923-622c-750b-8b99-1b3c88355559",
  "docSlug": "08d6aefbccb5",
  "documentTitle": "Genius Sports Limited (GENI)",
  "authorId": "54_Spruce_Point_Capital",
  "authorName": "Ben Axler",
  "documentKindSlug": "activist-deck",
  "documentKindLabel": "Activist deck",
  "sourceTypeSlug": "short_seller",
  "sourceTypeLabel": "Short seller",
  "presentationDate": "2021-08-05 00:00:00",
  "orientation": "landscape",
  "aspectRatio": 1.3333334,
  "pageNumber": 30,
  "pageCount": 61,
  "prevPage": 29,
  "nextPage": 31,
  "slideType": "cite_precedent",
  "function": "cite_precedent",
  "density": "dense",
  "nDataPoints": 4,
  "notes": "The slide uses external news citations to frame the competitive landscape between Genius Sports and Sportradar.",
  "elementsJson": [
    "headline_text",
    "paragraph",
    "callout_box"
  ],
  "metadataConfidence": 1,
  "imagePath": null,
  "slideHref": "/slides/019dd923-622c-750b-8b99-1b3c88355559/30",
  "deckHref": "/decks/019dd923-622c-750b-8b99-1b3c88355559",
  "deckJsonHref": "/decks/019dd923-622c-750b-8b99-1b3c88355559.json",
  "deckAnchorHref": "/decks/019dd923-622c-750b-8b99-1b3c88355559#slide-30",
  "components": [
    {
      "bbox": null,
      "kind": "callout",
      "text": "we are concerned by the Company's low research and development expense as we believe Genius will have to continue reinvesting in new technology to remain competitive.",
      "attrs": null,
      "subkind": null,
      "toolName": "Visual emphasis",
      "toolSlug": "visual-emphasis",
      "confidence": null,
      "componentId": "019dd952-e6ec-7186-b7c3-6d4d73a62c31",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.93,
        "x": 0.035,
        "y": 0.175
      },
      "kind": "paragraph",
      "text": "In May 2021, Genius announced the acquisition of Second Spectrum, a data tracking provider for multiple sports leagues. Genius paid $200 million in a combination of cash and stock for the deal. Spruce Point views the acquisition of Second Spectrum as part of Genius’ effort to stay ahead of the curve. Given constantly changing new technology, we are concerned by the Company’s low research and development expense as we believe Genius will have to continue reinvesting in new technology to remain competitive. Sportradar has made several acquisitions as the two data providers compete for an edge in the market.",
      "attrs": null,
      "subkind": "paragraph",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "098e4550-550d-44ee-a921-1f0074d81a1e",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.18,
        "w": 0.45,
        "x": 0.035,
        "y": 0.43
      },
      "kind": "quote",
      "text": "As data becomes increasingly important to power sportsbooks and live broadcasts, providers like Genius Sports are in an arms race to acquire faster, more reliable, proprietary feeds. Buying Second Spectrum, which specializes in turning video into data, will give Genius both new technology capabilities and a complementary client base.",
      "attrs": null,
      "subkind": "testimonial",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "275ff39d-510d-49c1-baad-6dbb18d1e495",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.25,
        "w": 0.45,
        "x": 0.515,
        "y": 0.43
      },
      "kind": "quote",
      "text": "Sportradar is working on acquiring an undisclosed business in a deal valued as much as $475 million, according to details revealed as the company takes on new debt to finance the transaction. The potential fundraising and purchase could also be part of any potential Sportradar plans to go public. The Switzerland-based sports data and content service is raising nearly $500 million through a senior secured term loan, requiring it to reveal some financial details to major ratings services in order to establish a debt rating required by institutional investors. \"While we do not know what the target is, we understand that there are significant revenue synergies with the target and is of considerable size, with an estimated annual EBITDA of €20 million-€25 million,\" S&P Ratings stated in a note today.",
      "attrs": null,
      "subkind": "testimonial",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "8c6dd264-2a3f-4cef-be73-d3ebb79feded",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.15,
        "w": 0.93,
        "x": 0.035,
        "y": 0.75
      },
      "kind": "quote",
      "text": "Sportradar, the world's leading provider of sports data intelligence and sport entertainment solutions, today announces that it has entered into a definitive agreement to acquire Synergy Sports... The acquisition complements and extends Sportradar's 360-degree product suite... Sportradar, a leading global provider of sports data intelligence and sport entertainment solutions, today announced that it has entered into a definitive agreement to acquire InteractSport...",
      "attrs": null,
      "subkind": "testimonial",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "8e5256a8-5ce0-4a68-82f1-bfcd1656b12c",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": null,
      "kind": "quote",
      "text": "\"As data becomes increasingly important to power sportsbooks and live broadcasts, providers like Genius Sports are in an arms race to acquire faster, more reliable, proprietary feeds.\" — Sportico (May 6, 2021); \"Sportradar is working on acquiring an undisclosed business in a deal valued as much as $475 million...\" — S&P Ratings (via Sportico, October 14, 2020); \"Sportradar, the world's leading provider of sports data intelligence and sport entertainment solutions, today announces that it has entered into a definitive agreement to acquire Synergy Sports...\" — Sportradar (March 22, 2021)",
      "attrs": null,
      "subkind": null,
      "toolName": "Authority citation",
      "toolSlug": "authority-citation",
      "confidence": null,
      "componentId": "019dd952-e6ec-7186-b7c3-709fd926ea47",
      "frameworkName": null,
      "frameworkSlug": null
    },
    {
      "bbox": {
        "h": 0.04,
        "w": 0.39,
        "x": 0.305,
        "y": 0.055
      },
      "kind": "title",
      "text": "Second Spectrum Acquisition",
      "attrs": null,
      "subkind": "headline",
      "toolName": null,
      "toolSlug": null,
      "confidence": null,
      "componentId": "62b3828b-e938-4a20-ab48-c08976e7bae5",
      "frameworkName": null,
      "frameworkSlug": null
    }
  ],
  "metrics": [],
  "tools": [
    {
      "name": "Precedent transaction",
      "slug": "precedent-transaction",
      "agent": null,
      "layer": "slide",
      "matchId": "c1fe5a73-be17-4887-9889-44bda5799b25",
      "evidence": "The slide mentions a specific acquisition deal.",
      "confidence": 0.7
    }
  ],
  "frameworks": [],
  "arcBeats": [
    {
      "to": 53,
      "from": 8,
      "beatId": "f3e1ffe1-c3ed-402d-bf3c-dc6cefa18b8e",
      "arcName": "Problem-Agitate-Solution",
      "arcSlug": "problem-agitate-solution",
      "beatName": "Agitation",
      "beatSlug": "problem-agitate-solution-agitate-make-it-worse",
      "evidence": "The deck agitates the problem by detailing various concerns, including unrealistic growth assumptions, questionable revenue recognition practices, and financial strain.",
      "position": 1,
      "confidence": 0.8,
      "parentBeatName": "Development",
      "parentBeatSlug": "development"
    }
  ],
  "loops": [],
  "imagePathAlt": null,
  "thumbSrc": null,
  "thumbSrcAlt": null,
  "locked": true
}