Score Media and Gaming, a division of Canadian media business theScore, is to launch mobile sports betting in Colorado via a new partnership with gaming operator Jacobs Entertainment Inc. (JEI).
Under the deal, agreed with a subsidiary of JEI, Score Media and Gaming will roll out its theScore Bet mobile sports wagering application in the state later this year.
JEI will receive a percentage of revenue derived from theScore Bet’s operations in Colorado – subject to certain annual minimum guaranteed amounts – and an initial upfront fee.
The deal, which is subject to theScore receiving all of the relevant licenses and approvals from the Colorado Division of Gaming, will run for an initial term of 10 years, extendable for two successive five-year terms at theScore’s option.
“theScore’s sports app is already one of the most popular in North America and, with theScore Bet, they are now leading the way in the integration of digital media and sports betting to deliver a revolutionary and holistic experience for fans,” JEI vice president of Colorado operations J.J. Garcia said.
“Their visionary and unique approach truly sets them apart and we’re thrilled to partner with them.”
theScore founder and chief executive John Levy added: “We can’t wait to introduce theScore Bet to fans in Colorado later this year. We’ve already seen exciting early momentum from our mobile sportsbook in our launch state of New Jersey.
“Now we are focused on its multi-state rollout while driving ongoing product innovations to further strengthen the connection between our media and gaming platforms, leveraging our incredibly powerful and highly-engaged sports app audience.”
theScore launched its theScore Bet app in New Jersey in September of last year, making history as the first mobile sportsbook created by a media company in North America.
This week, theScore said costs related to its ongoing expansion efforts in North America, including the launch of theScore Bet, were the main reason behind it posting a comprehensive loss of $4.1m during the first quarter of its financial year.
Revenue for the three months to November 30, 2019, amounted to $9.2m, down 3.2% from $9.5m in the corresponding period in the previous year. However, with operating expenses up 64.5% year-on-year from $9.3m to $15.3m, this left theScore with an operating loss of $6.0m for Q1.