Boyd Gaming And Fanduel Form Sports Betting Partnership
Another major deal flowing from the liberalisation of sports betting in the United States
Boyd Gaming Corporation and FanDuel Group – a subsidiary of Paddy Power Betfair plc, announced Thursday that they have formed a strategic alliance to pursue sports betting and online gaming opportunities across the United States.
The partnership brings together two of the largest and most geographically diversified companies in the gaming entertainment industry, a joint statement claims.
Boyd Gaming is one of the largest and most experienced companies in the gaming industry, and will operate 29 casinos across 10 states upon the completion of two pending acquisitions. With eight million customers and a presence across 45 states, FanDuel Group is the largest online sports destination in the United States, with a range of products and experiences.
Subject to individual state law and regulatory approvals, Boyd Gaming will establish a presence in the online gaming and sports wagering industry by leveraging FanDuel Group’s technology and related services to operate Boyd Gaming-branded mobile and online sports-betting and gaming services.
In turn, FanDuel Group will establish and operate mobile and online sports-betting and gaming services under the FanDuel brand in the states where Boyd Gaming is licensed.
“Through this partnership, Boyd Gaming and FanDuel Group will be in excellent position to successfully capitalize as sports betting and online gaming expand across the country,” said Keith Smith, President and Chief Executive Officer of Boyd Gaming.
“By joining forces with FanDuel’s nationally-known brand, as well as their considerable technical expertise and resources, we will be positioned to build market-leading sports-betting and online gaming operations in each state as they move forward with these new forms of entertainment. We will also see immediate benefits from our cross-marketing agreement with FanDuel, introducing millions of FanDuel customers to Boyd Gaming’s properties nationwide.”
Matt King, Chief Executive Officer of FanDuel Group responded: “With more than 40 years of experience, Boyd Gaming is a leader in the gaming and entertainment space, and a natural partner as we continue to build a leading position in the sports betting market. There is incredible momentum in the sports betting space and we look forward to partnering with Boyd Gaming to bring the FanDuel Sportsbook to more customers across the United States.”
This agreement will cover all states where Boyd Gaming holds gaming licenses currently and in the future, excluding Nevada. It also covers states included under Boyd Gaming’s market-access agreement with MGM Resorts International. Upon completion of Boyd Gaming’s pending acquisitions of the four Pinnacle properties and Valley Forge, Boyd Gaming will have access in 15 states nationwide, representing more than 36 percent of the U.S. population.
The two companies will also engage in extensive co-branding and cross-promotional efforts, the joint statement advises. FanDuel Group will market Boyd Gaming properties through its existing daily fantasy sports service and future interactive sports betting and gaming services, while Boyd Gaming will promote FanDuel’s products to its customer base. FanDuel Group will also provide Boyd Gaming customers access to its players.
In a statement to the London stock exchange Friday, Paddy Power Befair advised:
“The Group today announces that its subsidiary, FanDuel Group, has entered into an agreement with Boyd Gaming to co-operate in the U.S. sport betting and online casino markets.
“Under the terms of the agreement, subject to favourable legislation and regulatory approvals, FanDuel will gain market access for its sports book and online gaming products in several states and will provide Boyd Gaming with technology and related services to operate Boyd Gaming-branded mobile and online sports betting and gaming services, in those states.
“This agreement will cover all states where Boyd Gaming currently holds gaming licenses, excluding Nevada, and any states in which it acquires a gaming license or market access in the future, including under Boyd Gaming’s recently announced market-access agreement with MGM Resorts International.
“This agreement, along with FanDuel’s existing market access deals in New Jersey, New York and West Virginia, means it will potentially have access to 15 states nationwide.
“As part of the transaction, Boyd Gaming will also take a 4 percent equity stake in FanDuel Group and have an option to purchase a further 1 percent stake.”
Ohio Senators To Debate Sports Betting Bill
Little content in SB316 at present
Ity appears that Ohio, or at least the Ohio Senate, is gearing up to pass sports betting legislation following the striking down recently of the Professional and Amateur Sports Protection Act (see previous InfoPowa reports).
Local media reports indicate that SB 316 has been introduced to the Senate, albeit with very little content (there’s only one sentence at present), suggesting that it is a placeholder to encourage further debate and loading up with content by lawmakers, who will have opinions on licensing, regulations and tax rates.
The expectation is that hearings to listen to public opinion and expert advice will also likely be held.
Senators have expressed concerns that the state needs to be prepared for the liberalised sports betting market to obviate Ohio punters spending their betting dollars out-of-state by simply crossing the borders to Pennsylvania and West Virginia, both neighbouring states that have sports betting legislation. Three other states around Ohio – Kentucky, Michigan and Indiana – are also reportedly mulling sports betting legalisation.
IGT Reports Sports Betting Deals With Two Mississippi Land Operators
Signs technology deal with IP Casino Resort and Spa in Biloxi, and Sam’s Town Hotel & Gambling Hall in Tunica
International Game Technology plc has announced that its sports betting platform now powers retail sports betting at Boyd Gaming’s two Mississippi casinos – IP Casino Resort and Spa in Biloxi, and Sam’s Town Hotel & Gambling Hall in Tunica.
Guests of both Mississippi resort-casinos can now place pre-game and in-progress sports bets over the counter via IGT’s sports betting technology. The casinos also plan to leverage IGT’s self-service kiosks and other sports betting technologies in the future.
“The expansion of sports betting is an exciting growth opportunity for our company, and we are pleased to offer this new gaming entertainment product to our Mississippi customers via IGT’s proven, user-friendly technology,” said Vincent Schwartz, Boyd Gaming Senior Vice President of Operations.
“IGT is pleased to extend our long-standing relationship with Boyd Gaming to include sports betting technology for its Mississippi-based casinos,” said Enrico Drago, IGT Senior Vice President PlayDigital. “IGT invested significant time and resources to ensure that our modular sports betting solution was market-ready for the rapidly evolving U.S. sports betting market, and that our customers in the various states could benefit from it as soon as regulation allows.”
William Hill In New U.S. Sports Betting Deal?
Media reports link UK gambling giant to US land casino group Penn National Gaming
UK media reported widely on Sunday that online and land gambling group William Hill plc’s latest US move is a sports betting partnership with land casino giant Penn National Gaming.
The speculative reports quoted sources who revealed that th UK company is in talks with PNG and a positive result could create a William Hill presence in an additional 29 casinos throughout 16 US states.
William Hill has not thus far commented on the reports.
The reports follow a statement on Friday in which the bookmaker announced, “major expansion plans” after signing sports betting agreements with eleven casinos in Mississippi and a “soon-to-be-announced” casino partner in West Virginia (see previous InfoPowa reports).
Friday’s statement added: “William Hill US is also in advanced discussions with operators about deals that cover casinos in a further fourteen states in the US about similar sports betting agreements.”
William Hill investors will welcome some positive news after the company’s write-down last week of GBP 883 million as it braces for the impact of radically reduced maximum stakes mandated by the UK government on retail shop FOBTs. The write-down pushed the company to a GBP 820 million pre-tax loss prediction.
Colorado Sports Betting Needn’t Be Too Complicated, Says State A.G.
Changes to the state constitution shouldn’t be necessary, says Coffman
Provided that state politicians can agree on appropriate legislation, the US state of Colorado could join the US rush to legalise sports betting without having to amend the state constitution, substantially streamlining such a process.
That’s the official opinion of Colorado state Attorney General Cynthia Coffman, who following a request from the Colorado Department of Revenue has published her formal view that the Colorado Constitution does not prohibit or restrict commercial sports betting, and that the issue is a policy question for the state Legislature and Colorado voters
The opinion observes that: “Whether a game is a lottery turns on the role that chance plays in the outcome.” She argues that since sports gambling certainly does not rely on chance, “wagering on a sporting event falls outside this definition.”
Coffman has already encountered opposition to her opinion; the Colorado Gaming Association (CGA) has published its perspective, claiming: “The Colorado courts only give ‘respectful consideration’ to attorney general opinions and, many times, found that an AG’s opinion is incorrect.
“The weight of judicial authority throughout the country is that sports betting is, in fact, a ‘lottery.’ Attorney General Coffman’s conclusion that horse and dog racing are ‘not materially different’ than professional and collegiate sports betting is factually and, we believe, legally incorrect.”
The casino operators’ opposition to the AG’s interpretation of state law is rooted in their contention that sports betting should be the exclusive preserve of the casinos, and should not be permitted at pari-mutuel horse and dog racing tracks.
Online Gambling Consultant Expands Sports Betting Services
Former Gambling Compliance director Chris Krafcik joins Eilers & Krejcik Gaming
Online gambling research and consulting specialists Eilers & Krejcik Gaming has announced an expansion of its sports betting division as the vertical takes off in the United States.
Former Gambling Compliance director of research Chris Krafcik joins the company as managing director for political and regulatory affairs, and will expand Eilers & Krejcik’s research and analytical capabilities as well as co-author the firm’s U.S. Sports Betting Monitor, a leading source of insights and forecasting for the rapidly-evolving regulated U.S. sports betting market.
An expert in iGaming, daily fantasy sports, and sports betting, Krafcik authors regular syndicated research reports covering policy and regulatory development in U.S. Internet gambling and sports betting. In addition, he has provided expert witness testimony to multiple state legislative bodies, and his work is regularly cited in major media outlets.
“Chris brings a rare level of expertise and a unique perspective to Eilers & Krejcik that will help the firm continue to position itself as a leader in sports betting research,” said Todd Eilers, principal at Eilers & Krejcik Gaming. “His knowledge of iGaming and sports betting, which is particularly important as sports betting expands across the country, will augment Eilers & Krejcik’s already detailed analysis and research that our clients have come to rely on.”
The firm’s revamped U.S. Sports Betting Monitor is central to Krafcik’s role at Eilers & Krejcik Gaming. The monthly report offers comprehensive analysis of the emerging market for U.S. regulated sports betting, including detailed legislative and regulatory tracking, insider commentary on industry developments, forecasting for various markets, and a review of critical data points that provide clarity on the fast-growing vertical.
“Following the Supreme Court ruling on PASPA earlier this year, sports betting has become the most-watched segment of the legal gaming industry,” said Chris Grove, managing director of Sports and Emerging Verticals for Eilers & Krejcik.
“With constantly changing regulatory and legislative environments, high-quality research and analysis is a keystone for stakeholders looking to manage or benefit from the expansion of regulated sports betting across the country. ”
West Virginia Closes In On Sports Betting
Lottery Commission files sports betting rule, allowing process to move forward
The West Virginia Lottery Commission has filed legislative rules for public comment with the Secretary of State’s Office regarding sports betting, taking the process of legalisation a step further.
The filing starts the public comment period and also allows racetracks and casinos to begin the process of setting up its sports betting operations.
Danielle Boyd, managing legal counsel for the state Lottery Commission, told local reporters Monday: “If they were ready to open today and they had all their systems in place, we would certainly have to do some testing, but we would be ready to take bets as that testing would conclude. If it’s the on-property testing, we anticipate that will take only a few days to complete.”
The state Lottery Commission estimates the financial impact of the law will be at least $5.5 million in the 2019 fiscal year.
Boyd said the Hollywood Casino & Inn at Charles Town Races will be the first site in operation, with additional casinos and racetracks to be added during the football season.
She said that the commission’s biggest challenge will be setting up mobile and online betting services. Under the state law, patrons can place bets through phone apps if they are in the state of West Virginia.
“The technology for mobile and online is new to us in West Virginia,” she said. “We’re starting from square one, whereas New Jersey already had online casinos in place, online poker and other casino-style games.”
Boyd said the state Lottery Commission consulted with the New Jersey Division of Gaming Enforcement to better understand online betting, adding she hopes to create a network of states with legalized betting.
“We’ve been reaching out to our counterparts in Mississippi, our counterparts in Nevada and Delaware and any other jurisdictions that come on board,” she said. “We’re building a coalition to share information, share licensing information and also share any reporting of suspicious betting or other anomalies that might indicate there’s suspicious activity taking place.”
Louisiana Senator Calls On Lawmakers To Move On Sports Betting
Don’t let the neighbours get ahead of us, says state senator
Louisiana state Senator Danny Martiny is trying to rally his colleagues in the state Legislature to move faster on the legislation of sports betting, warning them that neighbouring states like Mississippi have already established a foothold and are in operation.
“It’s not so much how much money the industry and state would gain (through additional taxes), but how much we’re going to lose,” Martiny opined to local media reporters this week, warning that Arkansas may approve legal sports wagering in its racetracks, while Oklahoma’s Indian tribes may also allow sports betting in their facilities.
When this happens, the senator said the New Orleans market will take the full brunt of these competitive developments.
InfoPowa readers will recall that earlier this year, proponents were optimistic about the future of Louisiana’s gambling market after state lawmakers introduced several gambling bills aiming to legalise sports betting, online gambling, and daily fantasy sports and to rewrite the state’s antiquated casino law.
Martiny introduced SB 266, which would have allowed sports betting at the state-regulated Harrah’s casinos in New Orleans, as well as in 15 riverboat casinos around the state, but his bill did not make it through the Senate Finance Committee.
Geocomply Approved By West Virginia Regulator
Geo-location provider secures interim approval from West Virginia Lottery
Canadian geo-location technology provider GeoComply announced Wednesday that it has received interim approval as a sports wagering supplier in West Virginia for its geolocation compliance solution.
The interim licensing is a necessary step prior to receiving full approval from the West Virginia Lottery, which regulates all forms of gaming and gambling in the state.
“We are pleased to have GeoComply as our first sports wagering supplier to be approved in West Virginia,” said Danielle Boyd, Managing General Counsel for the West Virginia Lottery. “With the recent repeal of PASPA, we have set a very aggressive timeline for introducing sports wagering in the state, and are happy to have GeoComply show its readiness to support our launch in time for the new NFL season.”
“West Virginia has been very proactive in their goal to become among the first states to introduce legal online sports wagering and we are grateful for the support they have shown us in the licensing process,” David Briggs, CEO of GeoComply Solutions, responded. “We are now ready to supply compliance-grade geolocation solutions to the local operators and partners in West Virginia to get online sports wagering up and running in the state.”