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The Stars Group and Eldorado Resorts Enter Agreement for Online Betting in 11 US states

In a recent announcement from Stars Group, they said that they have made a business partnership with Eldorado Resorts, and they have plans for going forward with this agreement into the future for online betting and gaming. This will happen in the states where Eldorado has been allowed. Some of the states that it includes are: 

  • Iowa
  • Indiana
  • Colorado
  • Florida
  • Mississippi
  • Nevada
  • Ohio
  • West Virginia
  • Louisiana
  • Illinois

These are the 11 states that they will cover, but they also cover two other states New Jersey and Pennsylvania. Eldorado Resorts is one of the fastest growing gambling attractions in the region, and they have seen some explosive growth. In the future, it's even possible that they may decide to tactically pursue some of the other key states in the region. The advantages between the two are mutually beneficial because Stars Group is the most licensed, the largest, and they're the most well geographically positioned. This is a publically listed company, and they have one million common shares. They were listed at $23.22 per share, and they have a total net worth of $25 million. 

When we look at Eldorado Resorts, this company owns 28 different properties across 13 states. In total, they have over 30,000 slots machines. The decision to partner with each other is a symbiotic relationship because they will both help each other to do better in business. 

What Does This Agreement Mean?

The Stars Group will get the opportunity to operate under the Eldorado Resorts licenses, and Eldorado will use TSG's massive portfolio of turnkey online sports technologies and online brands. Ultimately, TSG wants the additional licensing so that they have the freedom to operate. The suppliers of Eldorado Resorts will share in the costs for betting across all the states. We can expect that this will have a bigger impact for gamblers as they reach new opportunities and can do new things with this business partnership. The partnership doesn't come without its fair share of risks, but this is common for business in general—to go into business has its risks.

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