iGaming Weekly Wrap-Up #44
#Breaking News
1.??????New York Gaming Commission selects nine mobile betting licensees
At a commission meeting at the 8th of November, the winning bids were announced. The FanDuel-led consortium comprising DraftKings, BetMGM and Bally Bet was recommended, as was one of Kambi’s two proposals – involving Caesars Sportsbook, PointsBet, Resorts World, Rush Street Interactive and Wynn Bet.
At the meeting, a 51% gross revenue tax rate was confirmed for all participants – in line with the tax matrix published last month – with all operators to pay a $25m fee for their ten-year licences.
To give you some insides about numbers, how these numbers are calculated and to put these numbers into perspective as well.
Estimated numbers are $500m revenues for operators & $500m in taxes. Meaning taxable income / GGR is $1bn, so what is the expected handling?
Handling to GGR is 10/1 => Size os estimated with $10bn which is as big as the overall gambling market in the UK or in Germany (Germany GDP is double the size of New York and UK is 175% of the size of New York). So with 1/4 of the population of Germany or 2/7 of the overall population of the U.K. , New York numbers are estimated to have / deliver the same GGR for sports betting only like Germany and UK are roughly making with the whole Gambling industry!
Long story short:
I don’t see these numbers for NY!
2.??????DraftKings revenue and losses both continue to grow in Q3
Losses at online sports betting giant DraftKings continue to soar even as revenues increased, including revenues per monthly unique player.
For the third quarter 2021, DraftKings reported Friday a net loss of $545 million which eclipsed the loss in the same quarter in 2020 of almost $396 million. And despite the fact that DraftKings' quarterly revenue was up more than 60% from the same period a year ago ($213 million compared to about $133 million), the revenue figure met previous company guidance but fell below analysts’ expectations.
In 2021 so far, DraftKings has reported a net loss of nearly $1.2 billion (it lost nearly $990 million in the first nine months of 2020). Over the approximate same nine months in 2021, the company’s stock price has performed flat starting the year at $44.76 and running at about $43.62 by early afternoon Friday. Meanwhile, the S&P 500 has risen about 27% year-to-date.
#US / Canada
3.??????Oregon sets new betting handle record despite registration drop
Oregon’s sports betting app Scoreboard has recorded sports betting handle of $37.6m for October – a record figure up from $25.1m in September and $29.5m from October 2020.
Gross gaming revenue (GGR) came to $3.0m for the month of October, representing a 7.1% increase on the same time last year.
4.??????Iowa smashes sports betting handle record again in October
Consumers in Iowa spent a total of $280.9m (￡208.2m/€242.7m) betting on sports during October, marking the second consecutive month in which the US state set a new handle record.
Revenue in October amounted to $6.6m, up 27.8% year-on-year from $2.8m in October of 2020 and also 14.7% higher than the $5.7m generated in September this year – ending three consecutive months of revenue decline.
5.??????Illinois betting revenue grows to $40.0m in September as NFL returns
Sports betting operators in Illinois took in revenue of $40.0m in September, up 484.6% year-on-year and 49.3% more than in August.
This total came on wagers worth $591.8m, the second-highest recorded by the state, after March’s $627.6m. This was up significantly from $394.0m in August and $305.1m in September 2020.
https://www.igbnorthamerica.com/illinois-betting-revenue-grows-to-40-0m-in-september-as-nfl-returns/
6.??????North Carolina betting legislation continues slow progress through House
A bill to legalize commercial online sports betting in North Carolina has cleared another committee in the state’s House of Representatives.
House Bill 631, which cleared the upper chamber of the North Carolina as Senate Bill 688, passed the House Commerce Committee in a 12-4 vote yesterday (4 November).
While it has passed its first reading in the lower chamber, it must still clear the House Judiciary and Finance Committees, as well as the Committee of Rules, Calendar, and Operations. The current legislative session will adjourn on 19 November, with a short session to convene early in 2022.
7.??????Sportradar secures sports betting approval in Connecticut and West Virginia
Sportradar has secured an online gaming service provider licence in the state of Connecticut and renewed its sports wagering supplier licence in West Virginia, while the provider also struck new integrity deals with two European basketball organisations.
Connecticut opened its legal retail and online betting in October 2021, while West Virginia was one of first states to legalise sports betting after the repeal of PASPA, launching its market in August of 2018.
The licences will enable Sportradar to offer sports data and related services in both states.
8.??????NBA names DraftKings and FanDuel co-official sports betting partners
The National Basketball Association (NBA) has signed multiyear partnerships with leading US sports betting operators DraftKings and FanDuel.
DraftKings will serve as the presenting partner of NBABet Stream, while FanDuel will be the presenting partner of the weekly NBABet show on NBA TV, with the two operators designated as co-official sports betting partners.
Both will gain access to NBA marks and assets for use across their sports betting and daily fantasy sports platforms, with FanDuel odds displayed on the Games page of NBA.com, while DraftKings will activate onsite at tentpole NBA events, including the NBA All-Star Game, Rising Stars, NBA All-Star Saturday Night and NBA Draft presented by State Farm.
9.??????Tipico launches online casino in New Jersey
German sportsbook operator Tipico has launched its online casino product in the New Jersey market. The company has partnered with Ocean Casino Resort for licensing in New Jersey, with the view to expand into further states in 2022 pending regulatory approval.
The casino will feature games developed by the likes of Scientific Games, NetEnt, High5, Everi, Gaming Realms and Inspired Gaming.
10.??Golden Nugget partners DraftKings for Louisiana retail sportsbook (Louisiana?from GDP perspective as big as Portugal or New Zealand)
Golden Nugget has linked up with DraftKings to open a new retail sportsbook at its Casino Lake Charles Hotel and Casino in Louisiana.
领英推荐
Players aged 21 and over in the state will be able to place bets on professional, collegiate, and other sports contests at the DraftKings Sportsbook inside the Golden Nugget Casino Lake Charles.
Due to open on November 10, the temporary facility will feature six ticket cages, while a network of 30 self-service kiosks will be placed throughout the casino
11.??Tribal operators launch ballot measure for California sports betting vs. ballot backed by 7 operators
Four tribal operators in California have introduced a new ballot measure that would bring sports betting to the state if approved.
The proposal, titled the Age Verified Tribal Online and In-Person Sports Wagering & Homelessness Solutions Act, would allow both in-person and online sports wagering to be conducted and regulated by tribal operators with additional regulation by the state of California and the federal government. The proposal argued that tribal operators are “the best entities to safely offer sports wagering”.
The measure is backed by the Rincon Band of Luiseno Indians, Wilton Rancheria, the Federated Indians of Graton Rancheria and the San Manuel Band of Mission Indians.
Please remember there is another ballot in California backed by seven leading operators: Bally’s, BetMGM, DraftKings, Fanatics, FanDuel, Penn National Gaming and Wynn Interactive.
#M&A & Finance
12.??Skill-based startup Playtertainment raises $5m
The business was founded in 2019 by Jon Davidman, who previously founded marketing agency EarthQuake Media and was a Caesars Interactive shareholder, and Cody Flaherty.
Its app has 1.2m downloads since its launch in 2020, playing almost seven million games since launch, winning over 20,000 prizes each month.
Playtertainment raised $5m through the round, led by SDV Holdings, with investors including former Caesars Interactive and PartyGaming chief executive Mitch Garber and Gamesys founder Noel Hayden.
Playtech co-founder Elad Cohen and DraftKings’ founders Jason Robbins, Paul Liberman and Matt Kalish also participated, as did Astralis Capital and Sharp Alpha Advisors. Following a $3m seed capital round, it has raised $8m in total.
13.??Greentube strengthens Italian presence with Capecod Solutions acquisition
Greentube, the interactive division of Novomatic, has completed the acquisition of Italian developer Capecod Solutions for an undisclosed amount.
Capecod has been part of the Novomatic Italia business since 2017 and its products will now be integrated within Greentube’s offering.
Greentube said the acquisition would strengthen its presence in Italy. Capecod’s game development capabilities will be made available to Novomatic Italia’s land-based clients in the amusement with prize (AWP) segment and become part of the NovoElsy AWP games portfolio.
14.??Better Collective moves to strengthen US position via RotoGrinders acquisition for €33m
Better Collective has taken the decision to acquire the remaining 40% shares in RotoGrinders Network for a purchase price of €33 million, in a bid to strengthen its position in the US sports betting market.
To complete the transaction, the Copenhagen-based firm will pay €22 million in cash and the remainder in either shares or cash, with both components transferred no later than 31 December 2021 – this brings the total purchase price for 100% of RotoGrinders’ shares to €51 million when Better Collective’s initial 60% share acquisition is taken into consideration.
Both Better Collective and RotoGrinders shareholders initially had ‘mutual options’ to buy and sell the shares between 2022 and 2024, but instead decided to accelerate the purchase and complete it in one transaction before the close of 2021.
15.??Jackpocket attracts celebrity investment in $120m Series D funding round
US-facing lottery app Jackpocket has raised $120m (￡88.8mm/€103.8m) in Series D funding during a round that attracted investment from celebrities and sports stars.
Led by growth fund Left Lane Capital, the round included participation from famous names such as Hollywood actors Kevin Hart and Whitney Cummings, entrepreneur Mark Cuban and baseball star Manny Machado.
Other participants included previous investors Greenspring Associates, The Raine Group, Anchor Capital, Gaingels, Conductive Ventures, BlueRun Ventures, Digital Currency Group, PROOF.
16.??Britain's Playtech gets takeover proposal from major investor Gopher worth €3.4bn
Playtech (PTEC.L) is in talks with its second-biggest shareholder over a possible takeover offer, weeks after agreeing to a buyout from rival Aristocrat Leisure (ALL.AX), sending the British online gambling software firm shares up 3% on Monday.
Hong Kong-based Gopher Investments, which holds a nearly 5% stake in Playtech through an affiliate TT Bond Partners, made a preliminary approach on Oct. 21 seeking access to some due diligence information to weigh a possible offer, London-listed Playtech said.
It said discussions with Gopher were at an early stage and did not disclose terms of the potential bid, which is likely to be worth roughly 3 billion pounds ($4.05 billion) according to Sky News which first reported the development.
#Legal:
17.??Spelinspektionen backs Swedish Consumer Credit inquiry
Sweden’s gambling inspectorate Spelinspektionen will support a special government inquiry examining consumer credit and concerns of public over-indebtedness.
Announced last week, the Swedish government has commissioned an inquiry seeking to provide “measures to reduce predatory lending and counteract over-indebtedness amongst consumers”.
The Swedish government stated that it held concerns at the excessive promotion of credit services, providing facilities to take out loans or defer payments.?
The inquiry will be led by Kathrin Flossing, chair of the Defense Intelligence Court and former director of the Riksdag, who will be charged with examining Sweden’s consumer credit market and safeguards.
18.??ASA rules against 888 over “misleading” affiliate ad
The Advertising Standards Authority (ASA) has ruled against operator 888 Holdings regarding a misleading ad posted by an affiliate marketing site.
The ads in question, promoting 888 brand 777.com and advertised on Betterdeals.live, claimed that “casinos are trying to shut down a free Android app” which was “allowing everyday people, like Simona Moron, to win huge progressive jackpots using nothing but free spins”.
Text stating “77 Free Spins (*T&C’s apply) ENABLED FOR ANOTHER” was accompanied by a three-minute countdown timer.
Turbo Games
3 年This week was all about the US market ??