Roar Digital Shareholders Agree Increase in Investments to $450 Million

July 9, 2020 Andrej Vidovic

Roar Digital, MGM Resorts’ and GVC Holdings’ t venture, has confirmed that its shareholders have secured the additional investment of another $250 million, totaling the funding to $450 million.

This second round of business investment comes after the initial $200 million boost which was split evenly, 50:50, between the two entities in July 2018. This provides the business with $370 million in investable capital.

Committed to Stability

Kenny Alexander, GVC’s CEO, has described Roar Digital as the “most important and exciting investment that GVC has ever made.”

Alexander said:

“We are absolutely committed to ensuring that the company has the funding and technical resources needed to achieve long-term market leadership, whilst delivering significant value for shareholders.”

Since its launch, Roar Digital has grown significantly. It should be live in 11 states by the end of 2020 under PartyPoker and BetMGM brands.

The brand has market entrance agreement going on in 19 states and will cover 50% of US population.

Securing Broad Market Access

CEO of MGM Resorts and GVC and to establish BetMGM as a leading brand in the US sports betting and iGaming.

“With broad market access secured, our long-term technology foundations now firmly established, and a high performing team in place, this further unequivocal from our two shareholders will ensure we can achieve leading market positions in this exciting industry that is growing even faster than our initial expectations.”

BetMGM will generate over $130 million in net revenue for the year, according to official estimates – despite the global health crisis that affects the gambling industry as well.

Who Oversees the Operation?

The entire venture will be supervised by a team combining employees from MGM and GVC. They will bring together the local market knowledge and industry experience.

Bill Hornbuckle, acting CEO and President of MGM Resorts said that sports betting and iGaming are fundamental to what the business does best.

He said that the investment in Roar is a demonstration of our continued excitement about the unique benefits of offering premier entertainment experiences.

Source:

“GVC and MGM commit to $450m additional investment in Roar Digital JV”, egr.global, July 8th, 2020.