Kambi Group plc
30 May 2023 - 05:00
Malta, 1 August 2019
Kambi Group plc signs exclusive multi-state Sportsbook agreement with Penn National Gaming, Inc.
The world’s leading sports betting supplier will provide North America’s largest regional gaming operator with its online and on-property Sportsbook and services
Kambi Group plc, the leading global sports betting supplier, has entered into an exclusive, long-term Sportsbook partnership agreement with Penn National Gaming, Inc. (“Penn National”), the largest regional gaming operator in North America.
Following a competitive selection process, Nasdaq-listed Penn National Gaming, Inc., which operates more than 40 gaming facilities across 19 U.S. states, will integrate the Kambi Sportsbook platform ahead of an on-property and online rollout in jurisdictions with active sports betting legislation.
Legal sports betting is currently active or pending in at least eight states where Penn National operates a gaming property, including West Virginia, Pennsylvania, Iowa and Nevada. In addition, bills that seek to regulate sports betting are on file across numerous states where Penn National has a land-based presence, potentially giving Penn National unrivalled access to regulated sports betting markets across the country.
The first launches are due to take place in Q3 2019, initially focusing on Penn National’s brick and mortar casinos in Iowa and Indiana, with online to follow in 2020.
The agreement is not expected to have a material impact on Kambi’s 2019 revenues but has the potential to have a significant effect on its revenues in future years, depending on the speed of rollout of relevant state regulations. The scale of the opportunity will result in additional short-term costs, particularly in relation to state licensing fees with an acceleration in licence applications required to capitalise on Penn National’s vast U.S. footprint.
Kristian Nylén, Kambi’s Chief Executive Officer, commented: “Kambi’s strategy has always been to partner with tier one operators, particularly those that share our vision and passion for sports and sports wagering. In Penn National, we have found an ideal partner – one that is not only passionate about providing high quality sports wagering experiences to its customers, but a company that adheres to the highest level of ethical business standards.
“It’s an honour for Kambi to be working with an organisation of the size and stature of Penn National, and we look forward to helping them become a national leader in the U.S. sports betting market in the coming years.”
The deal gives Penn National access to Kambi’s highly flexible and empowering technology, enabling the operator to develop a proprietary front-end and differentiated sports wagering experiences. Penn National also selected Kambi for its multi-channel capability, expertise in trading and risk management, record of delivery and commitment to integrity and corporate probity.
Jon Kaplowitz, Penn National’s SVP of Interactive, said: “Sports betting represents an exciting growth opportunity for Penn National. By controlling our front-end product and leveraging our vast casino footprint, our Company is well-positioned to execute on a sports betting strategy that maximizes value to shareholders. Utilizing Kambi’s best-in-class managed-trading services and omni-channel software allows us to effectively capitalize on this strategy.”
For further information, please contact:
Head of Investor Relations
Mobile: +44 (0)7850 910 933
Kambi is a provider of premium sports betting services to licensed B2C gaming operators. Kambi Group plc is listed on First North at Nasdaq Stockholm. Our services encompass a broad offering from front-end user interface through to odds compiling, customer intelligence and risk management, built on an in-house developed software platform. Kambi’s 20-plus customers include 888 Holdings, ATG, DraftKings, Greenwood Gaming & Entertainment, Kindred Group, LeoVegas, Mohegan Gaming & Entertainment and Rush Street Interactive. Kambi employs more than 750 staff across offices in Malta (headquarters), Australia, Philippines, Romania, Sweden, the United Kingdom and the United States. Kambi utilises a best of breed security approach, and is ISO 27001 and eCOGRA certified. Kambi Group plc is listed on First North at Nasdaq Stockholm under the symbol “KAMBI”. The Company’s Certified Advisor is Redeye AB.
Tel: +46 (0)8 121 576 90
About Penn National Gaming
Penn National Gaming owns, operates or has ownership interests in gaming and racing facilities and video gaming terminal operations with a focus on slot machine entertainment. The Company operates 41 facilities in 19 jurisdictions. In total, Penn National Gaming’s facilities feature over 50,500 gaming machines, 1,300 table games and 8,800 hotel rooms. The Company also offers social online gaming through its Penn Interactive Ventures division and has leading customer loyalty programs with over five million active customers.
Disclaimer: The information in this press release is such that Kambi Group plc is required to disclose under the EU Directive of Market Abuse Regulation.
The information in this report was sent for publication on 1 August 2019 at 01:00 CEST by CEO Kristian Nylén.