GVC Holdings forms US sports betting venture with MGM Resorts

The pair will invest $100m apiece into the new JV and said its formation would significantly increase the speed to market for both parties, lower execution risk and create "meaningful early mover advantages", getting up and running before the start of the upcoming NFL season.

In May, the US Supreme Court overturned the Professional and Amateur Sports Protection Act, a federal law that prevented states from permitting gambling on the outcome of sporting events.

GVC chief executive Kenneth Alexander lauded MGM Resorts as "the most trusted name in gaming", complimented the company's "pedigree and knowledge, particularly in the US" and said, even though MGM's business is hotels, casinos and conferences, it has "strong sports connectivity". Combining the MGM brand and local connections with the online betting technology GVC employs for its own Ladbrokes, Coral and Sportingbet businesses, "presents a truly exciting opportunity for US players and our respective shareholders", he said.

There was similar lyrical waxing about GVC's online betting expertise and existing US operations from MGM boss Jim Murren, who enthused: "With MGM Resorts' expertise and leading position in key markets across the US, this historic partnership will be positioned to become the instant leader in technology, market access, sports relationships and brands... Together, we are creating a one-of-a-kind platform that we expect will dominate the U.S. sports betting market."