WynnBET, one of three mobile sports betting platforms with a conditional New York license that has yet to launch, is reportedly for sale. The New York Post reports that Wynn Resorts is looking to sell its interactive division, which includes WynnBET, for potentially as little as $500 million.
WynnBET, BallyBet, and Resorts World have yet to launch in New York and are still awaiting statutory and regulatory approval from the New York State Gaming Commission. No timeframe has been announced for when WynnBET or Resorts World will launch upon approval, while Bally’s Chairman Soo Kim told CNBC that BallyBet is expected to go live in April.
Four sportsbooks — Caesars, DraftKings, FanDuel, and BetRivers — launched in New York on Jan. 8, and have since been joined by BetMGM, and PointsBet. Nine platforms received permission to launch sports betting apps in New York, and competition has been fierce among the platforms to earn the loyalty of New Yorkers.
In a statement to the New York Post, a Wynn spokesman said the company wouldn’t comment on rumors that it is shopping WynnBET. The spokesman did reaffirm outgoing CEO Matt Maddox’s comments from a November earnings call when he said the promotions being offered by platforms to land new customers weren’t sustainable.
“We were clear on our last earnings call about the current highly competitive nature of the online sports betting market and our desire to operate that business in a way that will actually create long-term shareholder value,” the spokesman said in his statement to the Post.
What Would A Sale Of WynnBET Mean For New York Bettors?
If Wynn Interactive is sold, what will it mean to sports bettors in New York?
The answer may depend, in part, on what transpires prior to a sale. If WynnBET launches while it’s being shopped, will it enter New York with plenty of promo offers in an attempt to establish a strong share of the market? Based on the comments a spokesman made to the New York Post, that doesn’t seem likely.
That raises the question as to whether or not WynnBET will delay its launch, letting the purchaser launch mobile sports betting under its own branding — whatever that may be. If that’s the case, the platform will be getting a late start in New York and may offer strong promotions in an attempt to lure bettors who committed to a platform that’s already launched.
Among the platforms that failed to land a license in New York were Bet365, Fox Bet, Fanatics, and Penn National/Barstool.
The question now is if one of them will earn a spot in the New York market by buying WynnBET, or if Wynn’s new CEO decides to keep its interactive unit after all.