Expanding the partnership terms
Australia-based PointsBet Holdings Limited has announced that its subsidiary PointsBet USA has secured sports betting and iGaming market access in Pennsylvania and Mississippi via an expanded partnership with Penn National Gaming. The news of the dual state market-penetrating partnership appeared in a press release on Wednesday.
excitement at “adding another two guaranteed online market access points”
PointsBet Group CEO Sam Swanell expressed excitement at “adding another two guaranteed online market access points” to his firm’s portfolio in Pennsylvania and Mississippi. Access to both states is subject to licensure, with access to the Magnolia State additionally dependent on legislation.
Sports betting presence in 14 states
Currently, PointsBet-branded retail sportsbooks are only available in Iowa, Indiana, Illinois, and the US subsidiary’s native New Jersey, and there are plans to launch in Colorado and Michigan later this year. When legislation permits it to go live in Pennsylvania and Mississippi, PointsBet USA’s sports wagering footprint will expand to 14 states, according to the press release.
Access to seven of those states comes directly through its partnership with Penn National. The duration of PointBet’s market access agreement with Penn National into Pennsylvania and Mississippi is for 20 years from the date it launches in both states.
In addition, PointsBet will be “responsible for all licensing and approval costs in connection with launching and operating the PointsBet services,” and will pay Penn National a portion of its net gaming revenues.
CEOs positive about the move
Penn National president and CEO Jay Snowden was positive about the extension of his firm’s market access tie-up with PointsBet USA to now include seven states. Snowden added that the company was “thrilled with the performance of our equity stake in [PointsBet] since inking the original agreement.”
sports betting and iGaming market in Pennsylvania […] estimated to be over US$1.75 billion per annum”
Snowden’s counterpart at PointsBet, Swanell, highlighted a “mature, total addressable sports betting and iGaming market in Pennsylvania […] estimated to be over US$1.75 billion per annum.”
The access to an additional two states continues an aggressive strategic month for PointsBet. On March 16, it announced the $43m purchase of B2B betting algorithm and platform developer Banach Technology in a deal designed to consolidate PointsBet’s US market position.