May 1, 2024 3 min read


Tipico Contemplates Sale of US Platform in Response to Market Dynamics

If the sale comes to fruition, it may indicate the challenges that smaller operators encounter in the highly competitive US market

As the earnings season for major companies in the US sports betting sector approaches, Tipico, the Malta-based gambling giant, is reportedly on the brink of selling its proprietary US sports betting platform

Tipico Mulls Sale to MGM Resorts, Reflecting Industry Challenges

Sources close to the matter, speaking under anonymity, revealed to the financial newsletter Earnings+More that Tipico is strongly considering the sale, with MGM Resorts emerging as a prime contender for acquisition.

Tipico, which has established its presence in four states – New Jersey, Iowa, Colorado, and Ohio – through its online sports betting platform, could potentially part ways with its US operations. The move comes amidst speculation about the company’s future, with earlier reports suggesting talks of a potential merger with Fanatics back in 2022. However, those discussions fizzled out, and now, attention has turned to the possibility of a sale to MGM Resorts.

The sale, if it materializes, could signal the struggles smaller operators face in the fiercely competitive US market. Despite its efforts and substantial marketing expenditure, Tipico has found it challenging to compete with industry giants. Other operators, such as PointsBet US, MaximBET, FOX BET, and Fubo Sportsbook, have also faced similar challenges, leading to their closure over the past two years.

Tipico’s Revenue Decline Fuels Speculation Amidst MGM Resorts’ Acquisition Talks

Financial data from March indicates a mixed performance for Tipico’s US operations. While its online sports betting revenue in New Jersey showed a decline of 15.3% compared to the previous year, the company managed to generate approximately $1.1 million in revenue for the first quarter of 2024 in the Garden State alone.

The potential acquisition by MGM Resorts holds strategic implications for both companies. For MGM, bringing Tipico’s platform onboard could offer an opportunity to integrate its LeoVegas sportsbook onto a proprietary platform, potentially moving away from its current partnership with Kambi. MGM Resorts, which operates BetMGM in a joint venture with Entain, has been exploring avenues to strengthen its position in the online betting market.

The sale of Tipico’s US platform could also impact its European operations, which remain distinct from its American venture. With private equity firm CVC Capital Partners holding the reins since 2016, speculation looms over the future of Tipico as a whole. Whispers suggest that CVC values the business at over €3.5 billion ($3.7 billion), hinting at a potential shift in ownership dynamics. With MGM Resorts scheduled to report its first-quarter earnings shortly, all eyes are on the potential acquisition and its implications for the wider gambling sector.


Silvia has dabbled in all sorts of writing – from content writing for social media to movie scripts. She has a Bachelor's in Screenwriting and experience in marketing and producing documentary films. With her background as a customer support agent within the gambling industry, she brings valuable insight to the Gambling News writers’ team.

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