AN delivered an all-time record of 14.6 million settled online bets the day of Super Bowl LV, up 186% compared to last year’s event. Also, the company has reached an agreement with Parx Casino to license GAN’s patented iBridge integration framework for 10 years.
The agreement calls for Parx Casino to pay a total licensing fee of $3 million and implies a patent license of roughly $75 per reward card, validating a ‘per unit’ value of the patent. GAN has also agreed to amend its existing contract with Parx Casino, and will release it from exclusivity moving forward.
Dermot Smurfit, Chief Executive Officer of GAN, commented in a press release Tuesday: “GAN delivered uninterrupted performance for all our U.S. clients during Super Bowl LV, just as we did last year and the year before that. Yesterday, we experienced record all-time transaction volumes before, during and after the Super Bowl and look forward to leveraging the experience, technical data and knowhow to prepare for next year’s technical onslaught which we expect will see Super Bowl betting on GAN’s Platform taking place across perhaps more than a dozen states simultaneously.”
“We’ve started the year with strong business and financial momentum and this patent licensing deal further validates our industry-leading IP (intellectual property) and sets a new bar for its value per reward card. Since we deployed our patented functionality in the U.S. for online gaming, those online customers who have linked their retail gaming loyalty cards to their counterpart online gambling accounts have generated in excess of 160% more Gross Gaming Revenue (online casino) and 140% more Gross Sports Win (from online sports betting) as compared to those customers who have not linked a loyalty card to their online gambling account. These results demonstrate not only the direct value of our technology and IP, but also the ‘stickiness’ of GAN’s platform to our customers,” Smurfit added.
There are a reported 80 million unique American adults who regularly frequent casinos for retail gaming and who together possess 150 million individual Reward cards offered by more than 1,000 retail casino gaming properties located in 48 states, according to GAN. Certain major U.S. casino operator groups have tens of millions of card-carrying retail gaming patrons within their casino patron databases. These patron databases are frequently cited as a competitive advantage supporting the same retail casino operators’ launch of internet sports betting and/or casino gaming.
“This is the second time GAN has licensed its patented iBridge Framework on a standalone basis and we believe the opportunity to leverage our intellectual property here in the U.S. remains large. We continue to be engaged in numerous conversations with both large and small casino-operators to partner with GAN in order to seamlessly connect their loyal reward-card carrying customers to their various online offerings. As a result, we believe we are on track to license our iBridge patent to additional U.S. casino operator groups in 2021 and throughout the patent’s remaining 13-year duration, which should help us drive long-term value for our shareholders,” Dermot Smurfit concluded.