Sports betting could benefit the US
In an interview with Totally Gaming, gaming specialist Ben Robinson said sports betting could boost the market.
US.- Late in May the US Supreme Court finally ruled that states are free to legalise sports betting, as it said that the federal law that was in place was unconstitutionally forcing states to maintain their prohibitions. The new market could boost the local economy, according to Ben Robinson, Co-Founder of M&A specialist RB Capital responding an interview by Totally Gaming newspaper.
The sports betting market in the US presents big opportunities for operators at a federal level. However, Robinson recommended companies “balance opportunity with value at risk” in regards to investing in all states.
“There will continue to be ongoing pressure to consolidate at the top, particularly with the small to medium tier operators, especially in the UK given the impending changes to gaming duty.
“Companies in this category that fail to acquire and/or find a suitable partner to merge or be bought in turn, are likely to face difficult conditions once the full impact of the government taxes takes effect, not to mention the upcoming UKGC and Advertising Standards measures on bonuses.
Robinson concluded: “Other forces at play such the US regulation will create a significant opportunity for growth, but the lack of state-based momentum in the short-term coupled with fierce competition to acquire assets of interest in these markets will pose significant volatility, and interested parties will need to balance opportunity with VaR (value at risk), or else expect to overpay for assets in the inevitable land-grab.”
