Hard Rock platform provider Gaming Innovation Group (GIG) is looking for a joint venture (JV) partner to support its US sports betting expansion.
The Malta-headquartered firm recently concluded a strategic review of its business following some financial issues. As part of that review, the company offloaded its business-to-consumer brands to focus on its business-to-business operations.
But the firm is still relatively cash-strapped and is seeking a strategic partner to help fund its US sports betting business beyond its deal with Hard Rock.
“We are very proud of our position in the US as one of the few suppliers live in multiple jurisdictions,” said GIG chief executive Richard Brown. “We are part of the first wave, but that is a very expensive exercise.
“Therefore, we are looking for a JV partnership or other constellation that enables us to retain that strategic position while realizing cost synergies, revenue synergies and give us some financial backing to get us to break even.”
Who could be a GIG partner?
Brown did share details about the identity of potential JV partners. A source said GIG was talking to around five suitors, with “one or two” front-runners.
An announcement is expected in April, the source said. GIG is currently powering Hard Rock digital platforms in New Jersey and Iowa.
The Hard Rock brand has yet to gain significant traction in sports betting in the United States, making a potential partnership a natural desire for GIG as expansion rolls on.
As part of the strategic review, GIG is also making its platform sportsbook-agnostic.
It means sportsbooks other than its own can be plugged into the GIG player account management (PAM) platform and offered to partners.
“We believe this to be the key to improving the quality of our product offering,” GIG said.
The company will initially integrate a sportsbook from Betsson, a Swedish online gambling company. Also, it has agreements in place with several other firms.