The future of Golden Nugget Online got a little more clear with the expectation of a completed merger. On Monday, Golden Nugget announced that the Landcadia Holdings and Golden Nugget Online merger could be official in the coming weeks. The vote was originally expected to take place on Dec. 11 but was pushed back to Dec. 29.
Assuming the vote goes through on Dec. 29, Golden Nugget Online (GNOG) will hope to finalize the merger before the year-end. Shareholders will be able to vote on the transition but it is expected to go through without a hitch. So far, 99% of votes have been in favor thus far.
Golden Nugget Online will be just the second online-only gaming operation on the stock exchange. DraftKings Sportsbook (NSDQ: DKNG) is the only other purely online casino and sportsbook. GNOG is owned by Houston Rocket Owner Tillman Fertitta. He also owns Golden Nugget casinos and the Landry Inc. restaurant brands.
Golden Nugget Online Shows Promise In New Jersey
Currently, Golden Nugget Online is only operating its online sportsbook in New Jersey. In order to gain momentum with their product, Golden Nugget Online must develop itself as a real player.
Well, they showcased that during the investor presentation in June of 2020. Golden Nugget Online reported a 13% market share in New Jersey. This would make it tied for the second-largest iGaming platform in the Garden State.
An iGaming spinoff of their land-based casinos, Golden Nugget Online offers a full assortment of virtual poker, blackjack, slots, and more on their online casino platform. They also are offering an assortment of sports betting options on their platform. This is going to be the biggest area of improvement in the future. For the latest updates on NJ sportsbook promos offered by Golden Nugget and other top operators, be sure to click the provided link.
Compared to 2019, Golden Nugget Online grew 93% in gross revenue for September 2020. Their net revenue also grew by 92% compared to 2019. Their growth is strong but their bandwidth will hinder them going forward. This will need to change in order for Golden Nugget Online to be truly successful.
Golden Nugget Online 2021 Expansion Plans
Following the successful merger, Golden Nugget Online will look to grow its bandwidth across multiple states. Golden Nugget operates casinos in New Jersey, Nevada, Mississippi, and Louisiana.
- They are not currently operating a mobile sportsbook or casino in Nevada. This should be the first place that they move forward with an online sportsbook launch. West Virginia
- Golden Nugget Online secured access to West Virginia in November. This could be their biggest opportunity to get into the state quickly. West Virginia granted them a license on Monday. The appears to be imminent in West Virginia.
- Golden Nugget Online was issued a provisional license in Michigan. They are expected to launch sports betting and an online casino in Michigan in early 2021.
- Lousiana is poised to launch sports betting in 2021 after quickly approving its rules early last Friday. This will be an immediate opportunity for Golden Nugget Online because they already operate a retail casino in the state.
- Currently, Mississippi does not offer mobile sports betting within the state. There isn’t much momentum to legalize mobile sports betting in the state. These could be easy targets for Golden Nugget Online to rapidly expand their markets if legalized sports betting becomes reality because they operate a retail casino in the state.
- New York has not legalized mobile sports betting at this time. However, Gov. Andrew Cuomo opened the door for an early 2021 launch. If there is an opportunity to launch in New York, Golden Nugget Online will look to gain access quickly. They do not operate a casino in New York at this time so they will need to agree with a casino partner.