Churchhill Downs Inc. Agrees to Deal with bet365 to Offer Sports Betting and iGaming

Churchill Downs Incorporated entered into an agreement this week with bet365 to allow the international gaming company to gain access to the Pennsylvania sports betting and PA online casinos market.

“We are pleased to partner with a global leader in the online gaming industry,” said Bill Carstanjen, CEO of CDI in a released statement. “Our relationship with bet365 enables us to maximize the value of our company’s sports betting and iGaming market access in Pennsylvania.”

The deal signals the end of operation for Churchill Downs’ online gaming platform, TwinSpires, in Pennsylvania. The company continues to offer the iGaming service to customers in Arizona, the lone remaining state in the continental United States Churchill Downs Inc. offers TwinSpires.

Churchill Downs ultimately decided to partner with bet365 because they could not see a path to profitability with their current online business model in PA online sports betting market.

With annual revenues that reach close to $4 billion per year worldwide, bet365’s entry into Pennsylvania signals a renewed push by the international gaming company to grab a slice of the expanding sports betting market in United States. 

Currently, bet365 offers iGaming services in Ohio and New Jersey. The company also recently signed a partnership agreement to enter the Massachusetts market. As with Pennsylvania, bet365 will need to clear regulatory hurdles before they can officially enter the market, something casino experts believe the company will achieve quite easily.

Pennsylvania’s stunning revenue numbers have boosted the state’s status among betting operators around the world, but the competition has been tough. The Keystone State’s online sports betting operators have generated over $800 million each month in handle over October and November. 

For bet365, the ability to enter the Ohio and Pennsylvania market could significantly boost their revenue numbers, helping them gain a foothold into more states.