GAN Announces Major US Expansion with the FanDuel Group
January 10 2019 - 2:05AM
Business Wire
GAN plc (“GAN” or the “Company”), an award-winning developer and
supplier of enterprise-level B2B Internet gaming software, services
and online gaming content in the United States, today announced the
signing of a material long-term deal with the FanDuel Group (“FDG”)
to be FDG’s Platform for rapid deployment of Internet casino, and
account services for Internet sports betting in Pennsylvania (pop.
13M) and West Virginia (pop. 1.8M), in addition to the existing
services provided since 2013 by GAN to FDG in the State of New
Jersey (pop. 9M).
This expanded contract represents a material increase in the
value of the partnership to GAN across revenue share, professional
services and patent licensing fees.
As part of the contract expansion FDG has agreed to license
GAN’s US Patent. GAN’s patented technology allows land-based casino
patrons enrolled in on-property loyalty programs to link existing
loyalty cards to Internet gambling accounts and receive loyalty
points in exchange for online gambling. Linking of patrons’ loyalty
cards is proven to greatly enhance online engagement by US casino
patrons as well as substantially increasing lifetime value realized
online through increased monetization and retention. Management
believes that the recognition of GAN’s US Patent significantly
underpins GAN’s intangible asset value and could potentially lead
to further client partnerships and US Patent licensing revenue
opportunities
Deal Highlights
- Second client in the State of
Pennsylvania (FanDuel Group) in addition to Parx Casino
- Two additional US States (PA, WV)
represent a combined population of approximately 14.8M
- Licensure of strategic US Patent for
linking US casino patrons’ loyalty cards to their online gambling
accounts, greatly enhancing GAN’s IP licensing & enforcement
program
- Initial rapid deployment of FanDuel
into both West Virginia and Pennsylvania
- Five-year contract term extension
commencing in 2019 and ending in 2024
Management Commentary
Dermot Smurfit, CEO of GAN commented:
“The contract extension combined with US Patent licensing
represents a significant milestone in GAN’s US evolution and
reinforces our view that in the heavily regulated US online
gambling market, effective and compliant ‘platforms’ are a premium
component of the supply chain rather than a commodity. GAN is
therefore very well placed to capitalize on the growth in US online
gambling markets in terms of new operator clients, new States and
underlying growth momentum.”
About GAN PlcGAN is a leading business-to-business
(“B2B”) supplier of internet gambling software-as-a-service
solutions (“SaaS”) to the US land-based casino industry. The
Company has developed a proprietary internet gambling enterprise
software system, GameSTACK™, which it licenses principally to
land-based US casino operators as a turnkey technology solution for
regulated real-money internet gambling, encompassing internet
gaming, internet sports gaming and virtual Simulated Gaming.
GAN is listed on the London Stock Exchange (LSE:GAN) and on the
Irish Stock Exchange (ISE:GAME).
For more information please visit www.GAN.com.
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version on businesswire.com: https://www.businesswire.com/news/home/20190109005757/en/
GANDermot SmurfitChief Executive Officer+44 (0) 20 7292
6262dsmurfit@GAN.com
US Investors: The Equity GroupAdam
Prioraprior@equityny.com212.371.8660
UK & Ireland Investors: Walbrook PRPaul
CorneliusGAN@WalbrookPR.com+44 20 7933 8780
Davy (Nominated Adviser, ESM Adviser and Joint
Broker)John Frain / Barry Murphy+353 1 679 6363
Liberum (Joint Broker)Neil Patel / Cameron Duncan+44 (0)
20 3100 2000
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