One of the biggest iGaming companies in the United States just recently made a move that is going to allow it to become an even bigger giant.
This new deal will have a number of benefits for DraftKings, but tapping into the online casino resources of Golden Nugget was a big reason for the purchase. DraftKings plans to complete the purchase by using stocks, and there won’t be any cash exchanging hands.
Golden Nugget Online Gaming still has to officially get the sale approved by its stockholders, but the Board of Directors has already agreed. There is hope that this deal will close in the first quarter of 2022 as long as regulatory approvals get completed as well.
DraftKings plans to cut costs by using the technology platform that comes with Golden Nugget, and they will no longer be needing to use a third-party. Golden Nugget is a big name in the online casino industry, and it is also a company that has ties to the NBA world.
Fertitta Entertainment is the parent company of Golden Nugget, and owner Tilman Fertitta also owns the Houston Rockets. DraftKings was able to reach a second deal with Fertitta Entertainment, and it will be an official gaming partner of the Rockets when that state approves gaming.
DraftKings has had little trouble becoming a leader in the US sports betting industry, but it doesn’t have as much experience when it comes to online casino gaming. Golden Nugget executive will be able to help DraftKings establish a strategy to use moving forward that will allow it to become a force in that industry.
Golden Nugget is widely regarded as one of the best casinos in Vegas and they have grown their online presence to become the number 1 ranked online casino in New Jersey. Famed for having some of the best online games available, the casino boasts a huge choice of table games, live dealer games, and an excellent Golden Nugget slots selection.
Both companies are currently publicly traded, and “New DraftKings” will be established as this sale is being worked out. When the deal finally closes, DraftKings Inc will be the official name of the new merger.
Penn National Buys theScore
DraftKings wasn’t the only big-name company making a deal this month, as Penn National Gaming is back in the news again. Penn National is the parent company of Barstool Sportsbook, and that company continues to target new states throughout the US.
Last week, Penn National announced that it agreed to purchase theScore, in a deal that will affect both sports betting and online casino gambling. Score Media and Gaming owns theScore, and Penn National will continue to allow it to be a standalone company.
Penn National is looking to use the technology from theScore app to help improves its current offering of the Barstool Sportsbook app. A move into the online casino industry is also planned, and this new acquisition will help make that a possibility.
Colorado and Virginia are the two latest states to see a launch of the Barstool Sportsbook app, as those occurred just this week. Penn National has seen some big revenue numbers over the past two years, and it is now putting it back into its sportsbook app.