Kambi Group plc and DraftKings Inc. Reach Agreement on DraftKings’ Migration Phase
Malta, 23 July 2020
Kambi Group plc and DraftKings Inc. Reach Agreement on DraftKings’ Migration Phase
Two companies to mutually support and cooperate on DraftKings’ migration to proprietary technology, DraftKings to take additional steps to safeguard Kambi’s intellectual property
Kambi Group plc and DraftKings Inc. have reached a mutual agreement regarding the migration phase of DraftKings to its proprietary technology from the Kambi sportsbook platform, which secures Kambi with full revenue until the end of the partnership and increases the protections for its intellectual property.
The agreement governing the provision of Kambi’s world-leading sports betting technology and services to DraftKings will end no earlier than 30 September 2021, however, DraftKings is permitted to leverage its proprietary technology, in full or part, prior to that date.
As per contract terms, any sports betting revenue generated by DraftKings prior to 30 September 2021, either via Kambi or following a migration away from Kambi, will be subject to the same level of revenue share payments from DraftKings to Kambi.
The agreement also sets out a greater balance of responsibilities between Kambi and DraftKings during the upcoming transition phase, with the two companies committing to mutually support and cooperate during the migration period. In addition, the agreement strengthens the security of Kambi’s data and intellectual property, while it has been agreed the partnership will not be extended to additional jurisdictions beyond January 2021, save where Kambi agrees to the additional service delivery.
This new agreement follows DraftKings’ acquisition of a technology and sports betting provider in a transaction which was completed in Q2 2020.
Kristian Nylén, Kambi CEO, commented: “Since partnering in June 2018, the Kambi-DraftKings relationship has proven to be highly rewarding for both parties, delivering first-class sports betting experiences to players across more states than any other sportsbook, and establishing Kambi and DraftKings as true leaders in their respective fields. The agreement we’ve announced today works to secure a strong revenue stream for Kambi for the next 15 months, while our growing and exciting portfolio of partners leaves me with no doubt that Kambi is well placed to extend its leadership position over the months and years to come.”
For further information, please contact:
Mia Nordlander
Head of Investor Relations
Mobile: +44 (0)7850 910 933
About Kambi
Kambi is a provider of premium sports betting services to licensed B2C gaming operators. Kambi Group plc is listed on First North Growth Market at Nasdaq Stockholm. Our services encompass a broad offering from front-end user interface through to odds compiling, customer intelligence and risk management, built on an in-house developed software platform. Kambi’s 20-plus customers include 888 Holdings, ATG, DraftKings, Kindred Group, LeoVegas, Penn National Gaming, and Rush Street Interactive. Kambi employs more than 850 staff across offices in Malta (headquarters), Australia, Romania, the UK, Philippines, Sweden, Australia and the United States.
Kambi utilises a best of breed security approach and is ISO 27001and eCOGRA certified. Kambi Group plc is listed on Nasdaq First North Growth Market under the symbol "KAMBI".
The Company's Certified Advisor is Redeye AB.
Redeye AB
Tel: +46 (0)8 121 576 90
The information in this report was sent for publication on 23 July 2020 at 22.30 CEST by CEO Kristian Nylén.
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