Those in Missouri will finally get a chance to bet on sports after voters approved a legal digital and retail sports betting initiative on 5 November. And every major operator already has some sort of existing relationship with a casino or professional sports team in the state.
Missouri’s new law requires that sports betting go live by 1 December 2025. Given that the state has an existing casino industry, it could launch sooner. And Jan Zimmerman, chair of the Missouri Gaming Commission (MGC) says the rules promulgation process has already started.
“Our folks are writing the rules and regulations as we speak,” Zimmeran told KFVS 12 on 12 November.
Zimmerman didn’t reveal a projected launch date or when rules might be available for review. But the MGC meets at the end of each month, usually around the 25th. The agenda and date for the November meeting are not posted yet. Once the process starts, it’s likely that the commission will first approve an application and open that process. From there, it will be tasked with crafting a framework within which legal sports betting will exist.
The new law sets the tax rate at 10%, but licensing fees are not set. The proposal that was voted on includes the language “not to exceed” around licensing fees. The highest fee the state could charge for a retail licence is $250,000 and the highest for a digital licence is $500,000.
Up to 21 platforms and official league data
Beyond that, the initiative lays out what entities can be licensed. It also allows sports governing bodies to require that official league data be used to settle in-play bets and request that certain bets be banned and outlines some advertising guidelines. Different from most other states, the new law also creates exclusion zones around some professional sports venues. The teams playing in those venues have the right to allow or ban operators within those zones.
The law also requires that 10% of tax revenues, or $5 million, whichever is greater, be funnelled to a compulsive gambling fund.
There will be up to 21 digital sports betting licences available in Missouri, one for each of the six professional sports teams, a total of 13 licences tied to the state’s casinos and two stand-alone licences. Every casino company either already has its own sportsbook brand or has a relationship with a wagering company. Of the six professional sports teams, the Kansas City Chiefs, Kansas City Royals and St Louis Cardinals have at least some sort of business relationship with a sportsbook.
The St Louis Blues, MLS St Louis SC and National Women’s Soccer League Kansas City Current do not have any public ties to gambling companies. Each professional sports team can apply for one retail and one digital sports betting licence.
Room for the little guy?
Even with these existing partnerships, there will be licences still available. Below are 10 operators that have either market access or existing business relationships in Missouri. That means that there are ultimately 11 licences still available.
That could mean that smaller operators like Betr or Sporttrade will consider expansion into the state.
Bally Bet
Bally’s owns a Kansas City brick-and-mortar casino and will be entitled to apply for one digital and retail sports betting licence. The Bally Bet platform is live in 11 states, including Missouri’s border states Iowa and Tennessee.
Bet365
While no Missouri-specific deal has been announced, Bet365 has an existing relationship with Century Casinos in Colorado. Century owns two brick-and-mortar locations in Missouri and would be entitled to apply for up to two digital and retail sports betting licences. In Colorado, Bet365 provides digital and retail sportsbook services to Century’s Cripple Creek and Central City locations.
BetMGM
Although no agreement to offer sports betting has been announced, BetMGM has an existing relationship with the Kansas City Chiefs. In September 2022, the Chiefs and BetMGM entered into an agreement for BetMGM to be the team’s official sports betting partner. Under the agreement, BetMGM signage is in Arrowhead Stadium, BetMGM content is available on Chiefs digital channels and the sportsbook offers unique fan experiences to BetMGM customers.
Caesars Sportsbook
Caesars Entertainment owns three brick-and-mortar casino locations in Missouri. Under the new law, it can apply for a digital and retail sportsbook licence for each one. The company currently only has one digital sports betting platform, although it also has five online gambling platforms.
DraftKings
The second-biggest wagering company in the US by market share, DraftKings has the rights to a “first” skin from Penn Entertainment under a 2019 agreement. In that 10-year agreement, Penn will provide DraftKings one digital skin to be used for sports betting, poker or online casino. In Missouri, Florida, Ohio, Pennsylvania and Texas, DraftKings has rights to a “first” skin from Penn. Under the terms of the deal, DraftKings must pay an unspecified amount of revenue share to Penn from gross gaming revenue (GGR). The deal has a 10-year extension clause and, according to the agreement, DraftKings must pay an up-front fee and a one-time market-access fee.
DraftKings also has a sports betting partnership with the Kansas City Chiefs. In addition, it has also broadcast from Arrowhead Stadium and sponsored the team’s 2024 preview. The sportsbook also has a business relationship with the St Louis Cardinals, who list the DraftKings Illinois Casino Queen property as a “preferred partner”.
ESPN Bet
This platform is a partnership between ESPN and Penn Entertainment, which owns three brick-and-mortar properties in Missouri. Penn will be able to apply for up to three digital and retail sports betting licences – and per a previous agreement with DraftKings and Fanatics (via the PointsBet deal), all three licences are spoken for. ESPN Bet is available in 19 states and today (14 November) marked one year since launch.
Fanatics
Under the same agreement in which DraftKings is entitled to a “first” skin from Penn in Missouri, Fanatics is, too. Fanatics came by the market access when it purchased PointsBet’s US businesses. In 2019 PointsBet made a deal with Penn for “first” skins in Missouri, Louisiana and Ohio. That deal is in place for 20 years and Fanatics must pay Penn an unspecified amount of revenue share based on GGR. According to the agreement, Fanatics Sportsbook must also pay an up-front fee and a one-time market-access fee.
Fanatics Sportsbook is currently available in 23 US jurisdictions.
FanDuel
The US leader by market share for sports betting platforms has two potential avenues for market access in Missouri. FanDuel has a national partnership with Boyd Gaming dating to 2018. FanDuel operates digital and retail sportsbooks at Boyd Gaming properties in multiple US states, including Indiana and Louisiana. There is also a FanDuel sportsbook at the Fremont Hotel and Casino. Boyd Gaming operates two brick-and-mortar locations in Missouri and also owns a 5% stake in the bookmaker. It will be entitled to apply for up to two retail and digital sports betting licences.
In addition, FanDuel has an existing business relationship with the St Louis Cardinals. After FanDuel parent company Flutter purchased the naming rights to the Diamond Sports Network, the Cardinals agreed on 11 November to sign the rebranded FanDuel Sports Network as its broadcast partner.
Kambi
Back-end provider Kambi has an existing partnership with Affinity Casinos to operate the company’s DRF Sports and DRF Bets platforms. The partnership dates to 2021 and Kambi is powering the DRF Sports platform in Iowa. Affinity Casinos has two brick-and-mortar properties in Missouri. It will be allowed to apply for up to two digital and retail wagering licences.
Underdog Sports
There does not appear to be a formal sports betting agreement between Underdog Sports and the Kansas City Royals. But Underdog Fantasy signage is visible in Kauffman Stadium, at least implying some sort of business relationship between the companies. Underdog Sports is currently live in North Carolina and is licensed, but not live, in Ohio.
