Analysts reckon that GVC Holdings (GVC) has “struck gold” with its joint venture deal with MGM International. Both GVC and MGM will invest $100m (£76m) to create a “world-class sports betting and online gaming platform” in the US with a separate headquarters and board of directors for the joint venture. The opening of the US sports-betting market will likely favour incumbent operators, so the deal gives GVC first-mover advantage.
MGM is arguably the biggest gambling brand in the US, according to Shore Capital analysts, with established relationships, brand, physical gaming sites, and a customer base that includes 27m M Life members. Meanwhile, GVC is known for its technology and online capabilities. Both loyalty programmes will be consolidated.
