Business By The Books: Australian Sports Betting Giant Dives Into Fantasy Pick’em

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Tabcorp, one of the largest sports and horse betting companies in the world, has dipped its toe into the US betting market.

The Australia-listed operator gave details on its investment in Dabble, a social betting app that lets users follow bets of their friends or others, during its half-year earnings call last week. Tabcorp invested A$33 million into the business for 20% interest in October 2022.

The app is taking a different approach in the US, in which Tabcorp invested another $1.75 million in December: pick ’em fantasy sports.

Timing for Dabble move

It is worth noting that Tabcorp invested in the US product after multiple states already announced action against pick ’em DFS games.

Florida, Michigan and New York all took action against pick ’em operators before December. Since then, multiple other states sent cease and desist letters concerning the product they believe resembles a parlay bet that could be made at regulated, licensed US sportsbooks.

PrizePicks eventually paid $15 million for operating in New York without a license.

Early results stronger than expected

The Dabble app has been live in the US since October and has seen its share of customers already. Tabcorp CEO Adam Rytenskild said the “low-cost US entry” into DFS has exceeded expectations so far.

The app had 630,000 registrations and 440,000 active users since launch. Dabble ranked second in the US Apple App Store in January in the sports category, Tabcorp said.

The app gives Tabcorp “insight into a different customer segment,” Rytenskild said.

Fanatics sports betting brand coming to IN, NY

The PointsBet name will disappear from both Indiana and New York this week as Fanatics continues the switchover of its $225 million purchase of PointsBet’s US assets.

“The New York migration will happen the week of February 26th,” an email sent to customers Monday said. A Fanatics spokesperson confirmed Indiana’s switch to LSR.

There are four states still waiting for the change after Indiana and New York are done:

SeventySix Capital promotes Stender

Chad Stender was promoted to managing partner at SeventySix Capital, a venture capital company that invests in sports and adjacent industries.

He and founder Wayne Kimmel share the responsibility of running the company.

Stender has been with the company since 2012 and leads the group’s investment process and investor relations team. He worked closely with Kimmel on DraftKings‘ acquisition of VSiN and Cosm‘s purchase of pylon cam company C360.

Other gambling-related products that SeventySix Capital is invested in includes US Integrity and Odds On Compliance.

Sportradar, Bundesliga extend sports betting partnership

Sportradar announced Monday it has extended its deal with Bundesliga International through the 2031-2032 season.

The deal, originally set to expire after the 2025-2026 season, gives Sportradar the exclusive distribution rights to live match data for betting purposes. It can also sublicense the video content from Germany‘s top two soccer divisions to sportsbook clients.