Rush Street Interactive Could Be Takeover Target for Stake.com

Crypto casino operator Stake.com is rumored to be looking at acquisitions that could provide it entry into the US iGaming market, and Rush Street Interactive (NYSE: RSI) could be on the suitor’s list of potential candidates.

Stake, which has had its run-ins with controversy, is looking to enter more regulated gaming markets around the world, including the US. Rush Street Interactive, long rumored to be a takeover target, checks a lot of boxes the prospective buyer is likely looking for.

Not many companies fit the description of large, regulated and for-sale. Rush Street Interactive is a logical fit, given it has long been up for sale, and holds online casino licenses that Stake would presumably covet,” noted Eilers & Krejcik Gaming (EKG) in the latest edition of the “EKG Line” report.

Stake also has a pending application for iGaming in Ontario, Canada, and is attempting to procure permitting in Australia’s regulated internet wagering market.

More Stake.Com Takeover Rumors

EKG added that Stake.com may have also evaluated deals in the fantasy sports and skill gaming industries. But the research firm didn’t identify companies the crypto casino operator considered.

As for Rush Street Interactive, that operator is affordable with market capitalization of $699.1 million, and is open to takeover discussions. In the US, Chicago-based RSI operates under the BetRivers and PlaySugarHouse brands, and is currently available with mobile or retail businesses in Colorado, Illinois, Indiana, Iowa, Michigan, New Jersey, New York, Pennsylvania, Virginia, and West Virginia.

RSI also offers mobile sports betting in Ontario and could be appealing to a buyer because of its access to Latin America, including Colombia and Mexico.

With PointsBet’s US operations off the market, iGaming/sports betting consolidation speculation will shift, with RSI making for a predictable epicenter of those rumors.

Stake.com Looking to Go White from Gray

Currently, Stake.com is what’s known as a gray market operator. That label implies that while it’s not officially licensed and regulated on par with a white market equivalent, it is safer for consumers than a black market counterpart.

“It’s one undertaken by the likes of Entain and the Stars Group, among many others. It could also signal a float by Stake in the near future, perhaps as cofounder Eddie Craven switches focus towards his new business, Kick, a streaming competitor to Twitch,” concluded EKG.