On Wednesday, July 31, Penn National Gaming, one of the most popular gambling operators in the United States announced that it had signed a total of five major sports betting partnerships with some of the biggest sportsbook operators in the country. This move is part of the company’s plans to further extend its footprint and claim an even larger share of the country’s rapidly growing sports betting market.
In the statement that the company delivered during the announced, Penn National unveiled its new sports betting partners who include PointsBet, theScore, DrafKings, and the Stars Group as well as the UK-based Kambi which is set to power Penn National Gaming’s in-house sportsbooks across its entire portfolio. This portfolio is pretty huge since Penn currently owns and operates over 40 properties across 19 states – eight of these states have fully legalized and regulated sports betting markets.
“Our skin agreements announced today will help fund the cost of launching and maintaining our primary sports betting and iGaming operations, both by way of the upfront consideration and the long-term revenue-sharing arrangements, which are consistent with industry standards and subject to minimum guarantees,” Penn National’s Senior Vice President of Interactive Gaming Jon Kaplowitz commented.
Needless to say, sports betting is an exciting opportunity for growth for both Penn National and the United States’ gambling market as a whole. The partnerships are therefore a great start for the company. As per the terms of the partnership agreement, the aforementioned gaming operators will be providing their products and services as “skin” partners of Penn National – each will be able to operate as first, second or a third skin.
Plans for Pennsylvania
Of the four new sportsbook partners that Penn National announced, only DraftKings will be getting access to the nascent but steadily growing sports betting market in the Keystone State. This limitation is mainly due to the fact that the $10 million license awarded by the Pennsylvania Gaming Control Board for sports betting only allows for one online betting site.
Already, DraftKings had taken preemptive steps by applying for key online casino and sports betting licenses in the state. The partnership is therefore very strategic since DraftKings stands to greatly benefit from the “tremendous resources, people and experience” that Penn National will be bringing to the partnership.
Online sports betting in Pennsylvania has only recently kicked off but it is already poised to be very successful. Gamblers in the state are the biggest winners in this case since there are even more options for them to choose from.