(Bloomberg) -- MGM Resorts International and Entain Plc plan to put an additional $450 million into BetMGM this year, bringing their total investment to $1.1 billion as they expand their online betting venture to new markets.
The companies project more than $1.3 billion in revenue for the business this year, up from $850 million in 2021, according to a statement Wednesday. BetMGM’s operating loss last year could be as high as $440 million. They see positive cash flow in 2023.
BetMGM, which was founded in 2018, now offers online wagering in 19 jurisdictions. It is the second-largest player in sports betting and online casino games where it operates, with about 24% market share overall, the companies said.
“All of our gaming states continue to surprise on the upside,” Adam Greenblatt, BetMGM’s chief executive officer, said on a call with investors Wednesday. “The market is moving to relatively exciting stages.”
MGM shares fell 1.5% to $43.19 as of 10:45 a.m. New York time. Entain was up 1% in London. The companies are 50-50 partners.
BetMGM’s debut in New York on Monday was the best first day in any market where the business has launched in new customer registrations, deposits, bets and other metrics, according to Greenblatt.
“We’re delighted with how it’s gone,” he said. “We’ve broken all records.
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