Global online gambling firm Entain is seeking to strengthen its position in key markets around the world, acquiring new properties to facilitate easy access into these markets. The latest Entain acquisition is Avid Gaming – a Canadian online sports betting provider with a strong North American profile.
The deal is expected to cost Entain more than $236 million, but indicators suggest it should prove profitable in the long run. As well as bolstering the position of Entain in the North American market, ownership of Avid Gaming properties and services should result in significant cost savings for Ensign – almost $12 million of savings are expected in 2023 alone. Entain has also applied for an Ontario gaming license – a statement of its intent in the Canadian market.
A New Chapter for Both Entain and Avid Gaming
Under the new corporate structure, the Avid Gaming brand will stay, and the company’s team will largely remain in place, continuing to run Avid and its products. In addition, management personnel, such as Avid CEO Will Golby, will become part of the Entain team. Together, the two providers hope to secure a greater share of the Canadian market and the market across the continent.
Entain has already made moves into North America, with significant success. The organization already operates a joint venture with American company MGM, providing the BetMGM brand and product roster to US-based consumers. This large venture has allowed Entain to gain a significant portion of the market south of the Canadian border.
Entain’s North American Gamble
This has not happened by accident, of course. Instead, it is the result of research conducted by Entain into the direction of the North American market. By Entain’s estimates, the online sports gambling and online betting markets should soar in value over the coming years, hitting around $20.3 billion by 2025.
This would make Entain’s American gamble a highly successful one. The company is looking to capitalize further with the addition of Avid Gaming to their interests north of the border in Canada.
Changing Regulations Influencing the North American Market
Recent shifts in favor of online sports betting in the United States have certainly increased the attraction of the NA market for investors such as Entain. More and more US states are providing their citizens with legalized and regulated online betting markets, and states and territories across Canada are moving in the same direction. As a result, across the two countries, the stage is being set for a surge in activity over the coming years – a surge that Entain is willing to take a chance on.
A spokesperson for the Entain Group described the “highly attractive” and “fast-growing” gaming market in Canada and discussed how the move came just after Entain applied for an Ontario gaming license.
“This acquisition provides an excellent opportunity to drive further growth, in line with the Group’s growth and sustainability strategy,” the spokesperson said.
By building upon their existing interests in the US market and showing a staunch commitment to expanding into Canada, Entain is quickly becoming a key figure within the continental online gambling landscape.