Betsson has signalled its intent in the US online sports betting market by signing a B2C agreement with Dostal Alley Casino in Colorado.
Betsson plans to launch its proprietary sportsbook in the first part of 2021, after regulatory approval. The strategic move is a reflection of Betsson's drive to grow in new regulated markets and this agreement lasts for an initial term of 10 years.
Betsson also has the ambition to build US presence, initially with a small office in Colorado. The move also gives the company an opportunity to showcase its sportsbook in the US market, which it aims to sell to B2B customers in the future.
Colorado was the 18th state in the US to legalise online sports betting, effective from May 1 this year. It allows for 33 licences, each to include one skin. Gambling duty is 10 per cent on GGR and customers are allowed to register and bet online while within the state borders. The online sports betting market in Colorado is estimated to reach US$200m at saturation (source H2GC).
CinDee Spellman, CFO of Dostal Alley Casino, said: "As a company with over 28 years in the gaming business, we are thrilled to welcome Betsson to the US as we partner with them for online sports betting in Colorado. With their decades of experience in online gaming we are confident that they will bring the very best experience to players in the Centennial State."
Pontus Lindwall, CEO and president of Betsson AB, said: "I am very excited to reach this milestone, further expanding Betsson's global reach by entering a new continent through the fast-growing online market in the US. Dostal Alley Casino has more than 60 years of experience of doing business in Colorado and will play an important role in our journey to build US presence.
“We have followed the development in the US closely since the possibility of a repeal of the PASPA and have carefully considered ways to enter the market. We are now looking forward to exploring the potential with our proprietary sportsbook."