The new agreement will form the base for DraftKings’ new DK Horse product, which will see customers of the sports betting operator bet on horseracing using a new standalone app.
The US sportsbook giant is looking to launch DK Horse in time for the Kentucky Derby in May 2023, which will require customers to deposit funds into a separate account from the one reserved for other forms of sports betting offered by DraftKings. However, there are plans to integrate DK Horse with the rest of DraftKings’ product suite in the near future.
The app will go instantly live in the 21 states that DraftKings currently operates in, providing it satisfies all regulatory and legal requirements.
Jason Robins, DraftKings CEO and Chairman, commented on the deal: “We are excited to collaborate with Churchill Downs Incorporated, not only to give our existing customers an opportunity to engage with pari-mutuel horse wagering but also to acquire new customers efficiently during marquee horse racing moments.
“Due to the structure of the agreement, we expect this new product offering to be immediately profitable.”
Bill Carstanjen, CEO of Churchill Downs Incorporated, further added: “We believe the depth and quality of our online offering through TwinSpires is unmatched in horse racing.
“We are excited to establish this relationship with DraftKings and to deliver a full end-to-end white label ADW solution that will introduce their significant base of sports betting customers to horse racing wagering.”