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“The market will be limited largely to people who don’t have a bookie, currently,” Asher said. He thinks Pennsylvania casinos will need to invest in special offers or amenities to convince people already betting illegally to come to their facility and do it legally. If revenue is being taxed at a high rate, Asher said Pennsylvania casinos might not be left with money to invest in such promotions. Bookies, on the other hand, are likely to fight to keep clients by offering incentives like rebates on losses, Asher said. The American Gaming Association estimates as much as $150 million in illegal bets is placed across the United States annually. Officials with the industry advocate say it’s still too early to tell what’s going to happen as the legal betting market expands, said Casey Clark, an AGA spokesman said. Though Pennsylvania got out ahead of the Supreme Court ruling by clearing the way to legal sports betting, Clark pointed out that regulatory and legislative climates in neighboring states might be more effective in driving the illegal sports betting market out of business. “I think that people have wanted to do this for a long time, and were looking for an avenue to do it,” Clark said. Pennsylvania opened the process in May for its existing 12 casinos and racetracks to apply for sports betting licenses. So far, none have. The state Gaming Control Board also has not received a single application from sports book operators.
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Twin River is contemplating a preemptive stock split in order to bring prices into a “marketable trading range.” The Dover Downs board of directors unanimously approved the merger, and the requisite majority of shareholders likely will sign off. If and when the deal closes, auditor Jeffrey Rollins will join the Twin River board. President Denis McGlynn called the deal “transformational” for Dover Downs. We believe this transaction will help us grow our business, invest in our people and our facilities and compete more effectively given changes in gaming on the horizon. We expect to see many positive benefits for the State, the Delaware Lottery and our employees and stockholders.
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