Penn National Gaming is the largest gaming company across the country today. This year (2020) they have acquired 38% of Barstool Sports, with big plans to launch a sportsbook app. Read more about the $163 million deal, below.
Penn National Gaming teamed up with Barstool Sports at the start of the year (2020) and acquired 36% of the sports company for $163 million. The deal states that Penn National will be the exclusive gaming parter to Barstool Sports for the next 40 years.
The Chernin Group struck a deal with Barstool Sports back in 2016 and will keep a 36% stake in the company.
Now, Penn National is preparing to launch a Barstool Sportsbook App compatible with iOS and Android devices. Once the app has been launched successful in Pennsylvania, it will become available in other states as well.
The President and Chief Executive Officer of Penn National, Jay Snowden, said:
“This exciting new partnership with Barstool Sports reflects our strategy to continue evolving from the nation’s largest regional gaming operator, with 41 properties in 19 states, to a best-in-class omnichannel provider of retail and online gaming and sports betting entertainment.”
Erika Nardini, Chief Executive Officer of Barstool Sports, also commented:
“Barstool Sports is a dynamic content company that has grown into a media juggernaut thanks to some of the best talent and fans in the world. Over the last five years, Barstool Sports has brought its audience, creativity and expertise to the biggest sports betting and DFS operators in the country with great results. The chance to combine our content and fans with Penn National's massive footprint, and to develop a unique and compelling omnichannel approach together, was for us a no brainer.”
Penn National Gaming is the largest gaming company in the United States to date. It has 41 venues across 19 states, featuring over 50,000 gaming machines, thousands of table games, and over 8,000 hotel rooms. Well-known operators under Penn National include Hollywood Casino, L'Auberge, and Ameristar.
The company is based in Pennsylvania and operates mainly in the US as well as in Canada.
On top of the casinos and racetracks, Penn National also offers live sports betting in multiple states. This includes Iowa, Mississippi, Indiana, West Virginia, Pennsylvania, Michigan, and Colorado.
Penn National has one of the best loyalty programs in the country called mychoice, with over 20 million members. The VIP program is planned to be included in the Barstool Sportsbook app, launching in September.
Barstool Sports is a sports blog that combines today's pop culture. It was created it 2003 by David Portnoy and has since built a fan base of over 60 million people.
When Barstool Sports first began, it was a print publication that focused mainly on fantasy sports and other gambling topics. In 2007, Barstools moved online and later formed a deal with AOL in 2014. AOL is an online service provider in the United States that had a big part in the development of the Internet back in the '90s.
A few years later, Barstool Sports sold 51% of the site to The Chernin Group. From 2016 to today, Barstool Sports has been featured on ESPN and has multiple podcasts and brands under the Barstool name. In 2019, Barstool Sports brought in almost $100 million in revenue.
The deal with Penn National Gaming in 2020 was the biggest partnership Barstool Sports has made so far. The Barstool Sports app will have a soft launch in September and will be available to the public shortly after.