The PointsBet Holdings Ltd (ASX: PBH) share price will be one to watch on Thursday.
This follows the release of a positive announcement by the sports betting company.
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What did PointsBet announce?
This morning PointsBet announced that it will be entering into a new market in the United States in the near future.
According to the release, the company has entered into an agreement with The Riverboat on-the-Potomac. It is a licensed satellite simulcast facility for horse racing and minority owned small businesses located in Charles County, Maryland.
Under the 10-year agreement, PointsBet will partner with The Riverboat on-the-Potomac to provide online and retail sports wagering in the state of Maryland.
This is subject to the receipt of all necessary regulatory approvals and licenses, and follows Maryland Governor Larry Hogan signing legislation allowing both online and retail sports betting in the State on 18 May.
Once in action, PointsBet will pay The Riverboat on-the-Potomac online and retail sportsbook market access fees, as well as a portion of the Net Gaming Revenues derived from the online and retail sportsbook operations. PointsBet will be responsible for the licensing and regulatory costs.
Management commentary
PointsBet USA CEO, Johnny Aitken, commented: "With terrific partners in The Riverboat on-the-Potomac, PointsBet is thrilled to begin the process toward offering the passionate, sports-loving community of Maryland with the fastest and most differentiated sports betting product across every customer touchpoint."
This sentiment was echoed by Winston DeLattiboudere, Co-Managing Member of The Riverboat on-the-Potomac.
He said: "We're excited about this new endeavor and are proud to be partnering with a company that understands and believes in the value of inclusiveness in every facet of the industry, from the owners to the bettors. I am also grateful to the Maryland General Assembly for passing legislation which helped to make this enormous opportunity a reality. We look forward to a future filled with phenomenal successes not only for our partners but for the citizens of Maryland and their communities."
The PointsBet share price is up 14% year to date.
