BetMakers Technology Group has secured a three-year agreement with Penn Entertainment for the international distribution of its racing content.
Commencing from January, the new agreement includes a mutual one-year extension option and builds on the successful partnership first established in 2022, designating BetMakers as the exclusive international distributor of Penn’s racing content for fixed odds, derivative bets and exchange wagering.
The revised agreement has favourable commercial terms for BetMakers, including a lower minimum annual fee, reduced to US$2.5 million, plus a $0.2 million promotional spend on Penn racetracks. Penn will also receive a revenue share on any revenue generated above the minimum guarantee.
The combination of the revised commercial terms and improved revenue generation is expected to increase BetMakers’ EBITDA by approximately A$1.2 million per annum over the term of the contract.
The FY25 revenue generated under the previous agreement exceeded the new minimum guarantee, which is expected to positively impact BetMakers’ gross margin going forward.
BetMakers CEO Jake Henson commented: “Penn Entertainment is a valued and important customer for BetMakers. We are delighted to continue working with them on their international content distribution to deliver returns to their horse racing stakeholders and bring their quality racing content to a wider audience.
“This amended agreement is a positive step for both parties, and we look forward to a successful and profitable partnership.”
Chris McErlean, vice president of racing at Penn Entertainment, said: “We’re pleased to continue our relationship with BetMakers, a proven global leader in racing distribution and technology. Their expertise and international reach have been instrumental in expanding the footprint of our racing content.
“We look forward to working together to maximise the value of our racing assets and provide new opportunities for our racing stakeholders.”
The new deal complements the range of services BetMakers already provides to Penn Entertainment, including Host Tote operations, Betline terminals, and digital wagering solutions.
In a trading update, BetMakers said it has launched eight new Apollo customers during Q2 FY26, demonstrating sustained momentum in the adoption of its digital wagering products.
A further eight Apollo customers are contracted and scheduled to go live in FY26 across domestic and international markets.
The company is also advancing to the full-scale commercial launch of the Monmouthbets digital tote wagering platform, a partnership with Darby Development, operator of Monmouth Park.
Showcasing BetMakers’ GTX technology, Monmouthbets is licensed by the Oregon Racing Commission and will service eligible customers across multiple US states.
Shares in BetMakers Technology Group Ltd (ASX:BET) gained 5.71 per cent to close at A$0.19 per share in Sydney Thursday.
Shares in Penn Entertainment Inc. (NASDAQ:PENN) closed 0.82 per cent lower at $14.57 per share in New York Wednesday.