Empire Sports Inc. and Bet365 will form a strategic alliance to develop and offer sports betting and online gaming at Resorts World Catskills in New York.
Bet365, the world’s largest online bookmaker, has entered a 20-year agreement with Empire to develop a physical and online sportsbook at the resort, if and when permitted by applicable law.
An affiliate of Bet365 will acquire up to $50m of Empire common stock at a price of $20 per share in two tranches, becoming Empire's second-largest stockholder, as part of the agreement.
The agreement will see the companies equally share profits, once Bet365 has recouped its start-up and other costs.
Resorts World Catskills is one of four casinos in New York State currently authorised to offer retail sports betting, pending the promulgation of regulations.
Manny Pearlman, Executive Chairman of Empire Resorts, said: “Joining forces with Bet365 positions Empire and our flagship Resorts World Catskills to lead a potentially enormous new market.
“Bet365’s global expertise in effectively developing and executing world-class sportsbooks strongly complements Empire’s leadership in commercial casino operations in New York.”
Simon Betteley, President of Hillside, a Bet365 affiliate, said: “This landmark agreement, which combines Empire’s gaming operating skill with our expertise in providing best-in-class online sports betting, allows Bet365 to tap into what we believe will be one of the most significant online and sportsbook markets in the US.”