SBC News Voice of the Sports Betting Industry
MGM Resorts has reached definitive terms to acquire the technology platform of Tipico US, a deal managed by LeoVegas AB.
As announced this morning, Tipico US technology platform will be merged with LeoVegas, advancing MGM’s plans to operate a “purpose-built proprietary sportsbook across all international markets and brands.”
The acquisition marks LeoVegas’ second strategic investment to develop MGM’s new online gambling offering, independent of the BetMGM joint venture, operated in the US by Entain Plc.
The deal sees DACH-markets leader Tipico Sportwetten wind down its US business, which has operated in the states of New Jersey and Colorado since 2020.H1 trading saw CVC Partners owned Tipico, announce to markets that it had placed its US business under review, with MGM reported as the likely buyer.
LeoVegas informed that it will “acquire certain of Tipico’s US-facing management, technology, and trading teams across the US, Colombia, and Europe.”
The acquisition of Tipico US platform was led by LeoVegas CEO Gustaf Hagman who remarked: “By controlling our own sportsbook technology, we ensure that we will deliver the world’s greatest iGaming experience to customers across all our markets and brands.”
Powering our strong brands with a competitive and innovative sports product will enable us to grow and strengthen our sportsbook offering in both new and existing markets. I look forward to welcoming the talented teams from Tipico’s US business into the LeoVegas Group very soon.”
2022 saw MGM acquire LeoVegas for $600m, marked as a critical deal for the NYSE gambling group’s ambitions to build a standalone international online gambling venture.
Under MGM’s ownership, LeoVegas has spearheaded the launch of BetMGM sportsbook brand in the UK and the Netherlands as of 2023.
MGM backs LeoVegas in the continued development of a standalone digital property as expressed by Gary Fritz, President, MGM Resorts International Interactive: “The acquisition of Tipico’s award-winning U.S. platform marks a significant milestone in the strategic development of MGM Resorts’ global digital gaming business, allowing us to operate a proprietary sports betting platform.”
“This acquisition gives us control of our entire technology ecosystem, and we are delighted to bring Tipico’s US team, with their track record of developing high-quality product and pricing capabilities, into our business.”
