PENN Entertainment Announces Agreement With Wynn Interactive Holdings To Acquire Mobile Sports Wagering Licenses For New York Market Access For $25M
Portfolio Pulse from Benzinga Newsdesk
PENN Entertainment has reached an agreement with Wynn Interactive Holdings to acquire its New York mobile sports wagering licenses for $25M, aiming to launch ESPN BET in New York in 2024. The acquisition includes WSI US, LLC, which holds the licenses issued by the New York State Gaming Commission in 2021. This move is part of PENN's strategy to expand ESPN BET across the U.S., with New York being a significant market.
February 13, 2024 | 3:01 pm
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Wynn Resorts, through its subsidiary Wynn Interactive Holdings, has sold its New York mobile sports wagering licenses to PENN Entertainment for $25M. This transaction may reflect a strategic shift or reallocation of resources within Wynn's portfolio.
The sale of the mobile sports wagering licenses to PENN could indicate a strategic reallocation of resources or a shift in focus for Wynn Resorts. The impact on WYNN's stock price in the short term is uncertain, as the benefits or drawbacks of this transaction will depend on how the proceeds are utilized and the company's broader strategic goals.
CONFIDENCE 75
IMPORTANCE 60
RELEVANCE 75
POSITIVE IMPACT
PENN Entertainment's acquisition of New York mobile sports wagering licenses from Wynn Interactive Holdings for $25M positions it for significant growth in the U.S. sports betting market, particularly with the launch of ESPN BET in New York in 2024.
Acquiring the licenses allows PENN to enter the New York market, which is significant for its growth strategy, especially with the introduction of ESPN BET. This strategic move is likely to be viewed positively by investors, potentially leading to a short-term uptick in PENN's stock price.
CONFIDENCE 85
IMPORTANCE 90
RELEVANCE 100