Golden Nugget Online Gaming has secured a definitive agreement with Tioga Downs racetrack for future online gaming market access in the state of New York, subject to legislation, regulatory approval, license eligibility and availability.
The 20-year agreement would give GNOG market access to the state of New York for online casino wagering under a Tioga Downs’ licence.
The igaming firm will pay Tioga Downs, one of only seven commercial and tribal casinos in the state, a percentage of its net gaming revenue, which will be subject to minimum royalty payments for the duration of the term.
“Tioga Downs is excited to partner with one of the best performing online gaming operators in the US. GNOG has one of the most experienced online teams, a historied US casino brand and a proven track record in our neighbouring state of New Jersey,” said Jeffery Gural, Tioga Downs owner.
“I’m confident GNOG will bring an exciting product to my home state of New York and together we will generate excellent new revenue streams for GNOG, Tioga and the state of New York.”
GNOG, which believes that the New York online casino market could reach $2bn gross gaming revenue at maturity, will see the Empire state become the ninth state that it has gained market access in recent months.
Thomas Winter, president of GNOG, stated, “We are very excited to sign this long-term partnership with Jeff Gural and Tioga Downs. New York is key to our growth strategy and we look forward to the state embracing online gaming.
“We will remain focused on securing new market access partners in more US states. With its iconic brand, superior product and award-winning operations, GNOG is uniquely positioned to take advantage of the exponential growth of online gaming in the US.”
Across New Jersey, Michigan, Pennsylvania, Illinois, West Virginia, Nevada, Mississippi, Louisiana and New York, GNOG’s total addressable US online sports betting and casino market is currently estimated to be approximately $10bn at maturity.