UK-based sports betting and gambling operator Entain is acquiring US sports data analytics company Angstrom Sports, in a deal worth up to $265.4 million.
The purchase grants “a full in-house suite of end-to-end analytics, risk, and pricing capabilities” for BetMGM, which Entain owns in a joint venture with MGM Resorts, it said in a press release Monday.
Entain will pay a base consideration of £81 million ($105.9 million) for Angstrom, plus an extra £122 million ($159.5 million) in contingent payments over the next three years. The release did not specify the terms of those payments.
Entain shares fell 0.79% on the London Stock Exchange on Monday.
BetMGM set for improved tech
Founded in 2018, Angstrom Sports uses prediction-based modeling to price US sports for operators, including:
- PGA Tour
- NCAA basketball and football
The purchase could also enrich BetMGM’s menu of betting options and capabilities, the parent company said.
“Their next generation forecasting, pricing and risk management capabilities will unlock significant opportunities across BetMGM’s U.S. sports betting offering, particularly in the fast-growing markets of parlay and in-play wagering,” said Jette Nygaard-Andersen, chief executive officer at Entain. “This acquisition will provide our customers with an unrivalled sports betting experience underpinned by enhanced in-house data-analytics, a global platform and market leading brand.”
The acquisition is expected to be complete in Q3 2023. The companies offered no timeline for fully integrating Angstrom’s technology into the BetMGM product.
Entain bolsters portfolio ahead of goal
Entain owns 18 sports betting brands worldwide, according to its website. It acquired three of those most popular brands in multimillion dollar deals:
BetMGM should hit profitability by the end of 2023, the company previously announced.
The app typically ranks third or fourth in U.S. online sports betting market share, depending on the state.