Equipment provider Scientific Games confirmed a partnership agreement with FanDuel Tuesday, releasing a two-sentence statement before the stock markets opened.
The deal, in which the Las Vegas-based company will supply both sports wagering and online gaming technology to FanDuel’s operations in the U.S. and globally through the company’s Openbet sports wagering technology platform, was first reported Monday.
“Scientific Games confirms it has expanded its existing partnership with Flutter Entertainment to cover online and mobile sports betting and iGaming content offering with FanDuel in the United States,” the company said. “OpenBet has been at the core of Flutter’s proprietary sports platform for over a decade in Europe and we look forward to expanding this partnership to the U.S. market.”
Flutter, FanDuel’s United Kingdom-based parent, is already using Openbet in its sportsbooks operated under Paddy Power, Betfair, Sportsbet, FanDuel and Adjarabet.
The agreement will make Scientific Games the exclusive supplier for FanDuel in all of the company’s existing U.S. markets and any future markets.
The company’s stock on Tuesday closed at $26.40,in trading on the Nasdaq, down 47 cents or 1.75%. Monday’s report sent shares up 8.17%.
FanDuel currently offers online sports betting in Pennsylvania, New Jersey, Indiana, and West Virginia. The company operates retail sportsbooks in West Virginia, at the Meadowlands Racetrack Complex in New Jersey, and in properties operated by Boyd Gaming Corp. in Pennsylvania, Iowa and Indiana.
FanDuel announced an agreement last month with Twin River Holdings to provide online sports betting in conjunction with the company’s three casinos in Colorado.
Scientific Games would become the leading back-of-the-house sports betting supplier in the U.S. through the deal with FanDuel.
Last month, Scientific Games announced a deal with DraftKings to provide the company its Internet gaming platform and games content portfolio.
Scientific Games Chairman Ronald Perelman, a New York-based financier who controls nearly 40% of the company through his MacAndrews & Forbes investment arm, spent more than $40 million to boost his controlling stake in the past year.
Howard Stutz is the executive editor of CDC Gaming. He can be reached at hstutz@cdcgaming.com. Follow @howardstutz on Twitter.
