MGM Resorts has completed an agreement to acquire technology platform Tipico US, a deal managed by LeoVegas AB.
As announced this morning, Tipico US’s technology platform will be integrated with LeoVegas, helping MGM advance its plans to launch its own sportsbook in international markets under various brands.
The acquisition is LeoVegas’ second strategic investment in developing MGM’s new online gambling offering, which will be independent of the BetMGM joint venture operated in the US by Entain Plc.
As part of the deal, market leader DACH Tipico Sportwetten will cease its operations in the US, where the company has operated since 2020 in New Jersey and Colorado. It is likely that the company will be acquired by MGM.
LeoVegas said it will “acquire certain of Tipico’s management, technology and sales teams operating in the US, Colombia and Europe.”
LeoVegas CEO Gustav Hagman, who headed the Tipico US platform, emphasized: “By controlling our own sportsbook technology, we ensure that we will deliver the world’s greatest iGaming experience to customers across all our markets and brands.”
Powering our strong brands with a competitive and innovative sports product will enable us to grow and strengthen our sportsbook offering in both new and existing markets. I look forward to welcoming the talented teams from Tipico’s US business into the LeoVegas Group very soon”.
In 2022, MGM acquired LeoVegas for $600 million, a key step in the NYSE gaming group’s strategy to create a standalone international online gambling enterprise.
Led by MGM-owned LeoVegas, sports betting brand BetMGM has been launched in the UK and the Netherlands from 2023.
MGM is supporting LeoVegas in the development of their separate digital properties, as stated by Gary Fritz, President of MGM Resorts International Interactive: “The acquisition of Tipico’s award-winning U.S. platform marks a significant milestone in the strategic development of MGM Resorts’ global digital gaming business, allowing us to operate a proprietary sports betting platform. This acquisition gives us control of our entire technology ecosystem, and we are delighted to bring Tipico’s US team, with their track record of developing high-quality product and pricing capabilities, into our business.”
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