OpenBet is reporting considerable growth amid a potential sale by its owner.
The sports betting and iGaming technology and content provider saw its customer base in H1 2024 grow by more than 40% compared to the same period last year. OpenBet has posted the growth by leveraging Endeavor’s access to World Lottery Association (WLA) operators. In 2022, Endeavor acquired OpenBet from Light & Wonder in a deal valued at $800 million. Since then, OpenBet has bolstered its portfolio of partners by securing deals with over 20 WLA operators, including Australian wagering giant Tabcorp and Westlotto.
As of Aug. 9, OpenBet has a portfolio of more than 200 partners.
“Endeavor has been a great platform to accelerate and build on our most recent strategy, as demonstrated by the impressive growth in our global customer base over the course of the year,” said OpenBet CEO Jordan Levin. “As we build on this very solid foundation, I’m very excited about what the future holds for OpenBet and confident that we will maintain our track record of innovation and excellence regardless of future changes in our ownership structure.”
OpenBet showcased its innovation in May with the launch of OpenBet Locator, a geolocation product built on the backbone of Amazon Web Services. The product allows operators to locate and monitor customers while adhering to regulatory standards.
OpenBet finding a new home
OpenBet may find itself under new ownership as Endeavor explores a potential sale.
Earlier this year, Endeavor completed a merger of OpenBet and IMG Arena with the combined company operating under the OpenBet name. IMG Arena was launched by Endeavor in 2018 as a data insight provider for operators, media, and other verticals.
During a Q2 earnings call this week, Endeavor revealed that it has begun the formal process to sell OpenBet and IMG Arena to prospective buyers. Endeavor is exploring a sale as its TKO Group business, which is comprised of WWE and UFC, continues to grow and drive significant profits. Endeavor’s owned sports properties generated $894 million in revenue in Q2 2024, a 162.9% increase compared to the same period last year.
OpenBet will continue to operate as usual despite a potential change of ownership.
OpenBet owner going private
Endeavor is considering a sale as it plans to transition to a private company in 2025.
The entertainment giant agreed to a $13 billion deal with private equity firm Silver Lake, the company’s largest investor with a roughly 31% stake. The deal will be financed through a combination of Silver Lake equity and capital from Mubadala Investment Company and DFO Management. The transaction is expected to close by the end of the first quarter of 2025. Silver Lake is taking Endeavor private following a strategic review by the company.
