DraftKings Signs Sports Betting Tech Deal With Kambi Group; Launch ‘Imminent’ In NJ

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This is a developing story and will be updated.

We finally have a better idea of how a DraftKings sportsbook is going to happen in the US.

Kambi Group announced on Wednesday that it had entered into a “sportsbook agreement” with the daily fantasy sports operator.

DraftKings + Kambi

Details were short on the terms of the deal, but Kambi stated it would provide “technology and services selected to support expansion of DraftKings’ product portfolio.” The agreement was termed as a “multi-year deal.”

Most interestingly, Kambi intimates that DraftKings has an “imminent sportsbook launch in the US state of New Jersey.” DraftKings recently announced a partnership with Resorts Atlantic City for NJ sports betting.

Sports betting went live in the state last week, at land-based facilities. DraftKings — and everyone else — won’t be able to offer online wagering until the middle of next month, thanks to a new law regulating wagering in NJ.

Kambi talks DraftKings deal

More from the press release:

Kristian Nylén, Kambi Chief Executive Officer, said: “I am delighted Kambi has been selected to partner DraftKings as it enters the sports betting market.

“The Kambi technology is unique in that it empowers operators to innovate and create differentiated sports betting experiences, providing the flexibility which will be crucial in the developing U.S. market.”

The deal will also apply in other states that DraftKings attempts to serve for legal sports gambling, moving forward.

Kambi stock was up 15 percent soon after the announcement.

More about Kambi

Kambi Group is a B2B sports betting provider that helps consumer-facing companies provide sports betting services.

It was originally a part of Kindred Group (formerly known as Unibet), before it was spun off as its own company. Kindred had been at least kicking tires on an acquisition of DraftKings, but it seems as if DK is moving forward trying to raise money on its own.

Kambi recently announced a similar deal with Rush Street Interactive; it already runs an NJ online casino and its parent company has two casinos in Pennsylvania. (PA sports betting could launch later this year or early 2019.)

Kambi also provides sports betting for 888, a European online gaming company that also has a foothold on NJ.

Where else are DraftKings and Kambi heading?

Right now, the options are limited. Pennsylvania is the only other realistic possibility outside of NJ: