Why is the BetMakers share price charging 7% higher today?

BetMakers shares are having a decent start to the day…

| More on:

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

Key points
  • BetMakers shares are pushing higher on Thursday
  • This follows the announcement of an agreement with Penn National Gaming
  • BetMakers now has the rights to offer Penn's racing content for fixed odds, booked bets, and exchange wagering outside the US and Canada

The BetMakers Technology Group Ltd (ASX: BET) share price is rising on Thursday morning.

At the time of writing, the betting technology company's shares are up 7% to 37 cents.

A group of three young men sit on a sofa in a home environment with a bowl of popcorn and beer bottles in front of them cheering on one of their teams on a phone.

Image source: Getty Images

Why is the Betmakers share price rising?

The catalyst for the rise in the BetMakers share price is the release of a promising announcement.

According to the release, the company has been awarded the rights to offer Penn National Gaming's racing content for fixed odds, booked bets, and exchange wagering outside of the US and Canadian markets.

These rights include over 946 race meetings a year for distribution from 1 July 2022 to globally licensed wagering operators.

BetMakers's Global Racing Network currently delivers international racing content from more than 30 countries and offers rights holders new markets in which to monetise their racing. It receives a fee based on a percentage of turnover generated by wagering operators betting on the products in these new markets, while delivering rights holders new revenue.

Under the new agreement, BetMakers and Penn have agreed to a revenue share arrangement, with Penn to be paid a minimum guarantee amount annually. The term of agreement commenced on signing and will continue until 31 December 2025.

Management commentary

Partnerships Manager of BetMakers' Global Racing Network, Kerry Gatten, was very pleased with the agreement. Gatten stated:

We are delighted to offer Penn's first-rate content to a global audience and increase the awareness of the valuable content US racetracks have to offer.

It is exciting that we get to deliver Penn's extensive racing content into our network of operators globally.

Despite this and a couple of recent positive developments, the BetMakers share price is still down a disappointing 55% since the start of the year.

Motley Fool contributor James Mickleboro has no position in any of the stocks mentioned. The Motley Fool Australia's parent company Motley Fool Holdings Inc. has positions in and has recommended Betmakers Technology Group Ltd. The Motley Fool Australia has recommended Betmakers Technology Group Ltd. The Motley Fool has a disclosure policy. This article contains general investment advice only (under AFSL 400691). Authorised by Scott Phillips.

More on Technology Shares

A man looking at his laptop and thinking.
Technology Shares

Should I invest $2,500 into WiseTech shares?

There are clear risks here, but I think patient investors may still find a compelling long-term opportunity.

Read more »

A man in a business suit rides a graphic image of an arrow that is rebounding on a graph.
Technology Shares

Has the WiseTech share price finally hit the bottom after crashing 50%?

Has this beaten-down ASX tech stock finally found its floor?

Read more »

A silhouette of a soldier flying a drone at sunset.
Technology Shares

How high does Macquarie think this ASX drone technology company will go?

Surging defence spending bodes well for this manufacturer.

Read more »

Man on a ladder drawing an increasing line on a chalk board, symbolising a rising share price.
Technology Shares

Why this ASX software stock is rocketing 13% today

Investors are buying after the company lifted its profit outlook.

Read more »

A young woman with glasses holds a pencil to her lips as she is surrounded by the reflection of data as though she is being photographed through a glass screen project with digital data.
Technology Shares

NEXTDC boosts funding with $2.3 billion senior debt facility upsize

NEXTDC has increased its available senior debt facilities to $8.7 billion to support ongoing expansion.

Read more »

Man looking at digital holograms of graphs, charts, and data.
Technology Shares

Two ASX tech shares hinge on rebuilding trust and growth. Here's how they can turn around

Here is how both ASX tech shares can achieve a turnaround.

Read more »

A woman with her hands over her face splits her fingers over one eye so she can peep through them.
Technology Shares

How low could WiseTech shares go?

WiseTech shares are now down almost 70% over the past 12 months.

Read more »

Man on computer looking at graphs.
Technology Shares

Why the WiseTech share price is sinking 7% today

This fallen ASX tech favourite is sliding again today.

Read more »