Meadowlands Racetrack struck a deal with an embattled Nevada operator for its third and final online NJ sports betting license.
CG Technology will operate branded online and mobile platforms for NJ sports betting under Meadowlands’ gaming license. New Jersey law allows each licensee to partner with up to three companies to offer online and mobile sports betting.
Meadowlands previously partnered with FanDuel Sportsbook for mobile, as well as the retail sports betting operation at the track. Australian entry PointsBet grabbed the second available skin at Meadowlands in July 2018..
A release issued by CG and Meadowlands did not include financial details of the deal. It listed only 2019 as a launch timeline.
CG trying to bounce back
Expansion into NJ sports betting did not appear a likely path for CG just a few months ago.
The Las Vegas-based operator again faced serious discipline from the Nevada Gaming Commission (NGC) following a series of violations. Those infractions included accepting mobile wagers from out-of-state locations and on concluded events. CG previously paid a total of $7 million in fines in 2014 and 2016 to settle similar situations.
CG negotiated a settlement offer of $250,000 that received approval from the Nevada Gaming Control Board (NGCB), which reports to the NGC. The gaming commission, though, rejected the deal and threatened CG with license revocation for its repeated offenses.
CG eventually reached a deal with the NGC to pay a $1.75 million fine and a $250,000 donation to the Nevada Council on Problem Gaming. CG also swapped out its core technology, a move the company said was planned prior to the settlement.
What they’re saying about the deal
Parikshat Khanna, CEO of CG Technology:
“We are delighted to enter the New Jersey market and bring forth our decade-plus of experience catering to customers in the country’s biggest gambling market. As an early mover in the Nevada sports wagering business, we always envisioned national expansion that would give American consumers more product options.”
Jeff Gural, Meadowlands Chairman and CEO:
“We are excited to announce this partnership with CG Technology. We are confident CGT, with its years of experience, will bring some new and inventive offerings that will appeal to the New Jersey online and mobile sports wagering market.”