Paddy Power Betfair Inks Sports Betting Deal in the US
14th August 2018 – Paddy Power Betfair is one of the most notable, controversial, and electric betting companies around, and it’s now taking its “in your face” style of betting across the Atlantic – sort of. Paddy Power Betfair’s subsidiary Fan Duel Group has inked a deal with Boyd Gaming – a leading US casino operator.
Under this new arrangement, Boyd will be in a position to offer an online gaming and sports betting platform through the use of Paddy Power Betfair technology. Added to that, FanDuel Group will see its market access increase, as it will be able to reach 15 states where Boyd and its access partners – MGM – already hold licenses.
The deal – which is hot off the press at this point – holds huge benefits for all parties involved. But, it isn’t just the increased product offerings and market access that’s going to give both companies a boost. What’s also been agreed – alongside what’s been mentioned above – is future co-branding and cross-promotional efforts, along with extensive marketing plans involving each company’s lines of products and services.
Following in the footsteps of other publicly listed UK casinos such as 888, and other listed on this casino reviews page, Paddy Power Betfair is aiming to spread its businesses to the fledgling US sports betting market with the help of Boyd.
Speaking on the new deal, Keith Smith (Boyd Gaming President and CEO) revealed that both companies are now in an “excellent position to successfully capitalize as sports betting and online gaming expand across the country.”
He also feels that the benefits of cross-marketing will reap major rewards, “We will also see immediate benefits from our cross-marketing agreement with FanDuel, introducing millions of FanDuel customers to Boyd Gaming’s properties nationwide.” Part of the new deal sees Boyd take a 4% stake in FanDuel Group, with an option for a 1% equity also on the table.
On the other side of the deal, Matt King (FanDuel Group CEO) believes that the new has the power to deliver a huge momentum boost, “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.”
Boyd Gaming is making a huge impact in the US, with it currently operating 24 casinos. Expansion is also on the cards for the company, as it is set to grow this casino number to 29 when it completes the acquisition of the Valley Forge Casino Resort and four Pinnacle Group-owned casino properties. For FanDuel, once Boyd Gaming’s latest business dealings have been wrapped up, it’ll have access to approximately 35% of the US market.
Looking at the implications of a Boyd Gaming-Paddy Power Betfair partnership, Chris Grove from Eilers & Krejcik Gaming said, “We think this deal is a significant win for Paddy Power Betfair. Without knowing the terms, it’s tough to evaluate Boyd’s upside, but we find it tough to believe that Boyd didn’t extract a significant price given its superior leverage.”