After searching for several years for a US sports betting partner, the giant SIG’s A$94 million ($65.4 million) cash injection into PointsBet means it has finally found its match. [Image: Shutterstock.com]
Focus on the game
Shares in Australia’s PointsBet rose 19% to close at A$2.55 ($1.78) after news that US trading giant Susquehanna International Group (SIG) has pumped A$94 million ($65.4 million) into the sports book operator.
Bought 12.76% of PointsBet stock
according to Sydney Morning Herald, SIG announced that it has bought 12.76% of PointsBet shares on Monday. PointsBet Communications took to Twitter with news of the deal and thanked SIG co-founder Jeff Yass:
The deal gives SIG the opportunity to leverage its technology expertise in the in-game betting sector of US digital sports betting, where Yas believes his company has an advantage. He said the technology and math is “almost the same for sports betting as it is for options trading.”
Synergy in play
According to SIG co-founder, the company plans to leverage its options trading expertise to work with PointsBet to grow its in-game sports betting offering. Yas said the two companies agreed that this should be a focus for the future.
Nobody really has the experience.”
“There is very little in-game betting in the US because nobody really has the experience,” said Yas, solidly establishing his company’s vision for sports betting. He outlined the long and cautious process behind SIG’s investment in US sports betting, noting that the company “roamed the ground.” […] Several years’ for a suitable partner.
Yas also highlighted PointsBet’s experience in the Australian sports betting industry, and how the company views itself as a betting operation rather than a marketing team.
According to Yas, the deal with PointsBet received a small boost by his family over the finish line. “My kids who work in this field tell me PointsBet has the best site, they seem smart and seem to think the way we do,” he said.
As part of the deal, PointsBet will receive European operating access to SIG’s sports trading arm, Nellie Analytics, which is active on global sports betting exchanges. PointsBet CEO Sam Swannell believes Neely could boost the sportsbook’s appeal with “more accurate pricing and sharper risk management.”
Combining Nellie and PointsBet would give the sportsbook “more betting markets, in-play prices, faster bidding and, ultimately, higher betting limits,” Swanell claimed.
according to Morning HeraldAnd the PointsBet President Brett Patton said his firm is “delighted to be pairing up with a visionary investor who has committed to ongoing and eminently qualified support in analytical trading in the financial markets, and now in sports.”