GAN extends Parx Casino partnership into New Jersey
GAN is to extend its partnership with Greenwood Gaming & Entertainment into the regulated New Jersey market, while the online gaming platform and software provider has also secured an interactive gaming licence in Pennsylvania.
Under the expanded agreement, GAN will provide a range of internet sports and casino gaming services to Greenwood - trading as Parx Casino - in New Jersey.
The arrangement, which remains subject to approval from regulatory authorities and the operator securing a licensing partner in the state, builds on GAN and Parx Casino’s relationship in the Pennsylvania market.
Last year, GAN and Parx Casino joined together to successfully apply for a sports betting licence in the state after it moved to legalise sports wagering in the wake of the Supreme Court ruling on PASPA. Parx Casino is also working with Kambi on its sports betting services in the state.
Meanwhile, the Pennsylvania Gaming Control Board (PGCB) has conditionally approved GAN as an interactive gaming manufacturer in the state. The move all but confirms GAN’s second gaming licence in the US, after its full casino service industry enterprise licence in New Jersey in April 2017.
GAN will now be able to directly deliver interactive gaming services to clients in Pennsylvania. The licence fee will set GAN back $10,000 (£7,700/€8.900), which GAN said is significantly lower than the $1m it had expected to pay as part of the licensing process.
The platform and technology provider expects to roll out online gaming services in Pennsylvania this summer.
GAN said that based on current strong trading conditions experienced year-to-date and lower Pennsylvania licensing costs, its remains confident in its ability to meet the full-year revenue projections published in January. At the time, GAN said revenue should come in at between £10.5m and £11.3m, up from £9.1m in 2017.
In terms of the 2019 financial year, GAN expects to report mid-to-high double-digit percentage year-on-year revenue growth, as well as positive EBITDA.
GAN also said its board does not anticipate any additional capital requirement on the current business plan and the supplier is therefore fully funded.
Image: Santeri Viinamäki