Bet on Gaming Holdings Surprise Entrant in New York Casino Competition

Posted on: December 15, 2022, 04:01h. 

Last updated on: December 15, 2022, 06:20h.

Todd Shriber @etfgodfather Read More
Expertise: Financial, Gaming Business, Mergers and Acquisitions.

The already teeming fray for a third downstate casino license in New York has a new competitor with the entry of Bet on Gaming Holdings.

Bet on Gaming Holdings
Bet on Gaming Holdings Principal, Dennis Cotto. The firm is getting involved in the New York casino competition. (Image: The Business Journals)

The privately held, minority-owned firm announced Thursday it created an investment fund to participate in the bidding for the third New York City-area gaming permit, which could be awarded in late 2023. Bet on Gaming’s investment fund is also designed to participate in “other upcoming brick-and-mortar casino opportunities.”

With secured capital and over 30 years of expertise in the development and operations of land-based casinos, BOGH is well positioned in the industry to become a valuable equity partner for any potential bidders seeking a more inclusive team,” said Principal Dennis Cotto in a statement.

Bet on Gaming’s investment fund focuses on business-to-business solutions, casinos, gaming devices, and online sports wagering.

“Bet on Gaming Holdings’ deal teams deploy capital globally across the technology and technology-enabled spectrum in compelling investment opportunities predicated on innovative or disruptive business models and companies with the demonstrated potential for accelerated market leadership in the gaming industry,” according to the firm.

Bet on Gaming’s New York State of Mind

It remains to be seen exactly how Bet on Gaming will approach New York City. But what’s not debatable is the level of competition to bring a new casino hotel to the largest US city.

Currently, the two New York City-area casinos — Resorts World New York City in Queens and MGM’s Empire City Casino in Yonkers — are slots-only properties. The state’s 2023 budget likely paves the way for those venues to become full-service casinos with table games and retail sportsbooks, as well as providing a third license for a yet-to-be-determined operator.

Bidding for the third license is drawing some of the industry’s biggest names, including Caesars Entertainment, Hard Rock International, Las Vegas Sands, and Wynn Resorts. There’s also speculation Bally’s is interested, though that company is focusing on a $1.7 billion integrated resort project in Chicago.

It’s possible that one of those groups could invite Bet on Gaming to get involved as an avenue for defraying costs, and there is some precedent for that. But it’s just speculation at this stage.

Bet on Gaming Steeped in Industry Experience

Bet on Gaming has ample industry experience. Through a partnership with Golden Nugget Online, Bet On Gaming holds a mobile sports wagering license in Virginia. The company also holds a similar permit in Maryland. It’s working with Churchill Downs to open more retail sportsbooks across the country, according to its website.

The Bet on Gaming team has over three decades of industry experience and is well-versed in land-based casino operations.

“Its principals have developed and operated MGM Detroit, MGM National Harbor, New York New York, and the Flamingo of Las Vegas,” it said in the statement.