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Boyd Gaming prepares for acquisitions

Boyd Gaming A few days after finalizing the deal, Boyd picked up the Valley Forge Casino Resort in King of Prussia, Pennsylvania. Some six months later, Boyd acquired Lattner Entertainment, picking up 220 locations from the Illinois bar and tavern gaming operator. With one of the largest sportsbooks in Nevada, Boyd has long been well established in the sports betting market and is now positioning itself to capitalize on its decades of market experience and existing network of regional casinos to take advantage of legalized sports betting across the U.S. Ramping up its debt to bulk out its war chest, Boyd is actively positioning itself to step into as many new markets as possible as state legislatures move to make the results of the Supreme Court decision in Christi vs NCAA into state law, effectively legalizing sports betting and tapping into the tax revenues that come with it. Boyd CEO Keith Smith has gone on record saying that the company is fully prepared to take advantage of sports betting as it spreads across the nation. With estimates of the size of the legalized sports betting market in America set at anywhere from $60 to $70 billion per year, individual casino operators will need to be well prepared to secure their position in the market if they are to take a leading position what is likely to be sea of rapidly proliferating competition. While the size of the market is enormous, sportsbooks are traditionally a low margin business, with profits from Nevada sportsbooks coming in at just 2% of the $248 million wagered in the state last year. Experts from the American Gaming Association have put the illegal sports betting market in the U.S. at $150 billion yearly, underscoring the market’s extreme potential.

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