Penn Entertainment has extended its retail sportsbook deal with Kambi ahead of a planned migration to its own proprietary platform.
Having previously operated its retail and online sportsbooks on the Kambi platform, Penn Entertainment agreed an early termination of the contract in October 2022, at which time it was announced that the online sportbook would migrate in-house in late-2023 and the retail sportbook in 2024.
Under the extended agreement announced on Monday, Kambi will continue to provide its retail sportsbook platform to Penn through to the end of 2025.
“We are pleased to agree to this extension to our retail sportsbook agreement with Penn Entertainment through which we have secured an important additional revenue stream for Kambi until the end of 2025,” said Kristian Nylén, CEO of Kambi.
“As the industry’s leading sportsbook provider, both online and in retail, we are committed to providing our partners with cutting-edge technology and a premium service which Penn’s vast retail estate will continue to benefit from throughout the duration of the extended contract.”
The extended agreement will see Kambi receive a share of Penn’s retail sports betting revenue through to the end of December 2025, irrespective of whether the revenue is generated via Kambi’s platform or via Penn’s proprietary sportsbook.
Kambi currently supports PENN Entertainment in 13 US states across 30 properties.
Shares in Kambi Group plc. (STO:KAMBI) were trading 1.26 per cent lower at SEK132.80 per share in Stockholm Tuesday morning.