The news broke that MGM Resorts and Britain’s GVC were in the process of completing a deal to offer online sports betting in the US over the weekend. MGM confirmed the partnership late Sunday evening.
Sky News reported that the deal would involve each company putting up $100 million in a partnership that would last 25 years.
According to Sky, each side will have a 10-year option to buy out the other and somewhat less believably, Sky quoted “insiders” saying that the partnership may even lead to a merger between the two companies.
GVC owns Sportingbet, partypoker, Bwin, and since a £3.2 billion ($4.2 billion) takeovercompleted in March this year, Ladbrokes/Coral.
MGM owns 13 properties in Las Vegas plus casinos in Michigan, Maryland, Mississippi and New Jersey. Two more are on the way in New York and Massachusetts. Thanks to an agreement between MGM and Boyd Gaming announced Sunday evening, this deal will expand the online and mobile gambling reach of the two casinos and GVC to 15 states.
Sports betting has already been legalized in Nevada (which was exempted from PASPA) and New Jersey, with Mississippi to launch soon. In the other states, there is legislation expected for 2019.
“With MGM Resorts’ expertise and leading position in key markets across the U.S., this historic partnership will be positioned to become the instant leader in technology, market access, sports relationships and brands,” said Jim Murren, Chairman and Chief Executive Officer of MGM. “We are excited to benefit from GVC’s proprietary, best-in-class technology, digital customer acquisition expertise, and experience with adapting to new operating environments. GVC is unusually qualified due to their existing operations in the U.S.”
According to a press release, “the new venture will have exclusive access to all U.S. land-based and online sports betting, online real money and free-to-play casino gaming, major tournament and online poker, and other similar future interactive businesses – facilitating entry into multiple digital gaming verticals under the playMGM and partypoker headline brands.”
Sky News reported that the deal would involve each company putting up $100 million in a partnership that would last 25 years.
According to Sky, each side will have a 10-year option to buy out the other and somewhat less believably, Sky quoted “insiders” saying that the partnership may even lead to a merger between the two companies.
GVC owns Sportingbet, partypoker, Bwin, and since a £3.2 billion ($4.2 billion) takeovercompleted in March this year, Ladbrokes/Coral.
MGM owns 13 properties in Las Vegas plus casinos in Michigan, Maryland, Mississippi and New Jersey. Two more are on the way in New York and Massachusetts. Thanks to an agreement between MGM and Boyd Gaming announced Sunday evening, this deal will expand the online and mobile gambling reach of the two casinos and GVC to 15 states.
Sports betting has already been legalized in Nevada (which was exempted from PASPA) and New Jersey, with Mississippi to launch soon. In the other states, there is legislation expected for 2019.
