BetMGM, a leading player in the American sports betting industry, plans to acquire analytics firm Angstrom Sports for up to £122 million ($160 million). This strategic move aims to enhance BetMGM’s offering of parlays, a popular betting option, to its customers.
The deal involves an initial payment of at least £81 million, with additional amounts contingent upon undisclosed factors. Angstrom Sports specializes in sports modeling and data analytics, making it an ideal partner for BetMGM’s expansion into the fast-growing markets of parlay and in-play wagering.
Parlays, which are known for their higher risk due to the requirement of multiple successful outcomes, will be at the forefront of this collaboration. By combining Angstrom’s data-driven capabilities with BetMGM’s global scale and market-leading platform, customers can expect an unparalleled sports betting experience in the United States. The enriched in-house capabilities will result in a wider range of betting opportunities, optimized parlay and in-play products, and improved pricing expertise and risk management. In the long term, this will lead to enhanced margins and profitability.
It is worth noting that BetMGM is jointly owned by Entain (50%) and MGM Resorts International (50%). Following their successful partnership, BetMGM is eager to leverage Angstrom Sports’ expertise to further solidify its position in the American sports betting landscape.
Entain, the parent company of BetMGM, refrained from providing any further comments on the matter. However, analysts at Citi expressed their confidence in the acquisition, particularly after Entain raised £600 million in equity recently. This financial boost facilitated another significant deal: the acquisition of Polish sports betting operator STS.
In Q1 of this year, BetMGM recorded impressive net gaming revenue of $470 million, representing a significant year-over-year increase of 76%.
Overall, BetMGM’s acquisition of Angstrom Sports is set to revolutionize the parlays betting experience for American sports bettors. With advanced analytics and data-driven capabilities, customers can anticipate a higher level of excitement and potential winnings in their sports bets.