US online casino company Rush Street Interactive is exploring strategic options, including the possibility of selling the company, people familiar with the matter said.
Representatives have already contacted potential buyers, including sports gambling giant DraftKings, said one of the people, who asked not to be identified because the information is confidential.
A representative for Rush Street declined to comment. The company offers online sports betting services such as Bet Rivers and Rush Bet.
Richard Schwartz, CEO of Rush Street
Photographer: Kyle Grillot/Bloomberg
A DraftKings spokesperson said, “As part of the normal course of our business, we discuss various matters with various companies. It is our policy not to comment on the specifics of those discussions.”
Rush Street, headquartered in Chicago, is an offshoot of the real estate and casino empire built by billionaire Neil Bloom, who remains at the helm. The company operates online casinos in 15 US states and three countries, and had sales of $691 million (approximately 105 billion yen) last year, an increase of 17% from the previous year.
The online gambling market is dominated by a handful of companies, including DraftKings and FanDuel, and Rush Street has a small presence among them. Rush Street accounted for less than 2% of the online sports betting market in the year to the end of January, according to research firm Eilers & Kresic Gaming. It ranks 6th in the ranking.
Original title:Rush Street Interactive Said to Weigh Sale, Approach DraftKings(excerpt)