Penn National Gaming plans to launch its Barstool Sportsbooks mobile wagering app in Pennsylvania on Sept. 18 following a three-day test period.
The casino operator said Tuesday the Pennsylvania Gaming Control Board approved the real money test period for Sept. 15-17.
In a statement, Penn National CEO Jay Snowden called the sports betting app, “the centerpiece of our company’s omni-channel strategy.” He hoped to have the app available by the kick-off of the NFL season, which begins this week.
Penn National paid $163 million in January to acquire 36% of Barstool, a sports media platform that boasts a 66 million-member fan base. Snowden said the goal is for sports betting and the Barstool brand to change and increase the demographic make-up of Penn’s customer base, which skews to age 45 and older.
Snowden has said the Barstool branded app would launch in Pennsylvania initially and in Michigan by November. Penn plans to roll out the app in New Jersey, Indiana, Iowa, West Virginia, and Colorado in early 2021, he said.
Bank of America gaming analyst Shaun Kelley raised his price target for Penn on Tuesday to $59.75 a share, based on the Barstool rollout.
“We think Penn remains best positioned among land-based operators and see upside potential for their core business as well,” Kelley said in a research note.
Shares of Penn Tuesday on the Nasdaq at $55.31, up $1.16 or 2,14%.
Penn National plans to renovate the company’s retail sportsbooks as Barstool-branded locations.
“Since forming our exclusive sports betting and iGaming partnership with Barstool Sports in January, our product, marketing, and operations teams have worked hand-in-hand with Barstool’s top talent … to create a sports betting experience that we’re confident will appeal to Barstool’s army of loyal followers, as well as our extensive database of existing casino customers and sports betting fans at large,” Snowden said.
A key part of the effort is to offer Penn customers the opportunity to engage both online and in-person with Barstool founder Dave Portnoy, Barstool personality Dan “Big Cat” Katz, and other Barstool fan favorites through the app and during appearances at Penn sportsbooks.
A limited number of pre-registered participants will be able to make real-money wagers and access all of the features and functionality of the Barstool Sportsbook during the test period. Penn said it would work with regulators to test the system and make any refinements prior to the full launch.
“This is an important milestone in our company’s continued evolution to be the leading omni-channel provider of retail and online gaming, live racing and sports betting entertainment,” Snowden said.
Howard Stutz is the executive editor of CDC Gaming. He can be reached at hstutz@cdcgaming.com. Follow @howardstutz on Twitter.
