Penn National has gained market access for New York in a two-way deal with Rush Street Interactive (RSI) that also gives BetRivers access to four new states.
Under the deals announced Monday, Penn receives second-skin access to the New York sports betting and iGaming market. That’s subject to mobile legalization of course, which is no sure thing.
On the other side, RSI gains access to Ohio, Maryland, and Missouri. Those are also second-skin agreements, each lasting 20 years.
Finally, RSI gets the right of first offer for a potential skin in Texas through Penn National.
Barstool Sportsbook to NY sports betting market?
Penn SVP of interactive gaming Jon Kaplowitz said New York was a major priority for the Barstool Sportsbook.
“We are hopeful that the New York State Assembly will follow those leading revenue producing states that allow for multiple skins for mobile sports betting,” said Kaplowitz. “A state the size of New York certainly warrants open competition and a free market approach.”
Whether Penn gets that free market is an open question. Governor Andrew Cuomo has been very vocal about a wanting a lottery-run market with limited operators.
But there are also open market sports betting bills moving through the NY legislature.
As for RSI, the company said it chose the first three states because of their proximity to RSI strongholds in Illinois and Pennsylvania.
“The addition of Ohio, Maryland and Missouri to our market access portfolio builds on RSI’s success in neighboring states and will create enhanced marketing efficiencies for our BetRivers brand,” said Richard Schwartz, president of RSI.
Schwartz said the company would have more market access deals in the future as opportunities arose.
When will new RSI states legalize sports betting?
- A bill failed to get across the line in Ohio last year. But key lawmakers are confident it gets done in 2021.
- Maryland voters approved sports betting via referendum last year. Now lawmakers must hammer out the details. A key hearing will be held Thursday.
- Missouri is also a favorite to pass sports betting in 2021. But there’s currently some debate over the inclusion of in-person registration.
- Texas of course is a wildcard. There’s opposition to the sports betting movement in 2021. But plenty of stakeholders are maneuvering behind the scenes for 2022 and beyond.