DBusiness Daily Update: Michigan’s Online Sportsbooks Surge in September, and More

Our roundup of the latest news from metro Detroit and Michigan businesses as well as announcements from government agencies, including updates about the COVID-19 pandemic. To share a business or nonprofit story, please send us a message.
PlayMichigan announced the state hit a new record in combined retail and online betting volume, totaling more than $350 million. // Stock Photo
PlayMichigan announced the state hit a new record in combined retail and online betting volume, totaling more than $350 million. // Stock Photo

Our roundup of the latest news from metro Detroit and Michigan businesses as well as announcements from government agencies, including updates about the COVID-19 pandemic. To share a business or nonprofit story, please send us a message.

Michigan’s Online Sportsbooks, Casinos Surge in September

Football produced a wave of bettor enthusiasm in September that brought more than $350 million in wagering to Michigan’s online sportsbooks in September, as the state hit a new record in combined retail and online betting volume, according to PlayMichigan, which tracks gaming developments in the state.

The new high was coupled with the first month of $100 million in online casino revenue in the state, helping set a new baseline for Michigan’s gaming industry.

“The potency of a full football schedule and access to online betting is unmatched,” says Eric Ramsey, an analyst for the PlayUSA.com network, which includes PlayMichigan.com. “September will raise expectations for the industry, and the bar was already pretty high. The next three months have the potential to bring even more records.”

Michigan’s online sportsbooks accepted $354.3 million in bets in September, up 84.2 percent from $192.3 million in August, according to official data released last week by the Michigan Gaming Control Board. September’s handle fell just short of the online record of $359.5 million set in March. But, combined with $32.5 million in retail wagering at Detroit-area casinos announced earlier this week, Michigan’s online and retail sportsbooks accounted for a record $386.8 million in wagering.

Gross gaming revenue from online betting rose 49 percent to $23.7 million from $15.9 million in August. Combined with $3.5 million in retail revenue, sportsbooks won a total of $27.1 million for the month, a rise of 54.7 percent from $17.5 million in August. Gross income from online betting produced $17.4 million in taxable revenue, yielding $690,271 in state and local taxes.

Football’s popularity in general, and undefeated starts in the NCAA ranks by both Michigan and Michigan State, helped push the market to a new high. Later this month, the rivals meet each other in a matchup of potentially two Top 10 teams, providing an opportunity for sportsbooks to attract new customers.

“The Michigan-Michigan State game will likely help make September’s records short-lived, even as the Detroit Lions’ struggles continue,” says Matt Schoch, an analyst for PlayMichigan.com. “The state’s sportsbooks are in a healthy position. And with basketball opening, the industry will continue to grow and mature for the rest of the year.”

DraftKings topped the online market for the second consecutive month with $106.9 million in wagers, up from $61.4 million in August. That produced $3.0 million in gross gaming revenue, down from $4.4 million in August.

DraftKings’ closest pursuers made big gains, too. FanDuel was second with $82.1 million in wagers, up from $47.7 million in August. Those bets produced $7.2 million in gross sports betting revenue, up from $4.8 million in August. That total narrowly edged BetMGM, which generated an $81.8 million handle, up from $43.7 million in August. And BetMGM topped the market with $8.8 million in gross gaming revenue.

Michigan’s online casinos and poker rooms set another record, with $102.4 million in gross gaming revenue in September. That shattered the previous record of $97.2 million set in August, as revenue rose to $3.4 million per day over the 30 days of September from $3.1 million per day in August. September’s revenue produced $18.9 million in state taxes and $5.2 million in local taxes.

Michigan joined New Jersey and Pennsylvania as the only three states to ever produce $100 million in revenue over the course of a month. A main reason is the expansion of gaming options, including live dealer online casino games, which continue to grow in popularity after launching in late July.

“Live dealer games have pushed online casino gaming to a new level,” Ramsey says. “The state’s industry will almost certainly reach $1 billion in revenue in its first year of existence, which is a remarkable milestone for such a young market.”

Petroleum Service Corp. Selects OneStream Software to Unify Complex Financial Operations

California’s Petroleum Service Corp., a provider of product handling, site logistics, and sustainability services for the petrochemical and refining industries, has selected OneStream Software of Rochester to streamline and unify the company’s finance operations.

After an evaluation process, OneStream was selected for its comprehensive platform and commitment to customer success. PSC will replace Excel with OneStream’s Intelligent Finance platform to unify its financial processes across planning, reporting and account reconciliations.

“Selecting OneStream was based on a valued partnership, building a solution that will modernize our complex financial processes across PSC in a single, unified platform,” says Lynn Nazareth, CFO at PSC. “OneStream’s Extensible Dimensionality will allow us to derive key insights across multiple lines of business with the flexibility to scale as the company continues to grow, while the seamless integration with ADP and NetSuite allows for a single source of truth for data across the enterprise.”

PSC has chosen OneStream Diamond Level Partner and global digital consultancy Perficient as its implementation partner. Phase One of the project will include workforce planning and reporting, focusing on a direct connection to NetSuite and integration to ADP. Phase Two will include a roll-out of additional planning and reporting capabilities and solutions, along with account reconciliations.

Following Phase Two, PSC will explore utilizing OneStream for account reconciliations as well as close management and consolidations.

“We are honored to be chosen by PSC as a trusted partner to modernize its financial processes,” says Mark Ardis, named account manager at OneStream. “OneStream’s platform capabilities proved to be the best fit to meet PSC’s needs as they digitally transform, with the OneStream MarketPlace offering solutions for PSC to expand their use of the platform into people planning, capital planning, task manager and parcel services to provide innovative insights across the enterprise as the company continues to grow.”

Hudson Avenue Partners Advises United Safety on Acquisition of Fireboy-Xintex

Hudson Avenue Partners in Detroit advised United Safety & Survivability Corp. during its acquisition of Fireboy-Xintex from W.S. Darley & Co.

Headquartered in Exton, Pa., United Safety is a market leading designer and manufacturer of mission-critical safety, survivability, and technology solutions for an array of transit, industrial, municipal, commercial, and defense-related end markets.

Fireboy-Xintex, a leader in the innovation of safety products for the recreational and commercial marine, transportation, and industrial markets.

“This acquisition represented a critical milestone for the company’s continued expansion into the fire suppression market and the financing transaction played an integral role in our ability to consummate the purchase of Fireboy,” says Joseph Mirabile, president and CEO of United Safety. “Given our expedited timeline, the degree of certainty and optimal execution Hudson Avenue delivered via its high-touch process proved to be invaluable as our team simultaneously worked to finalize the transaction with the seller.”

Michigan Women Forward Now Accepting WomanUp & Pitch Applications

Michigan Women Forward in Detroit is accepting applications for its business plan and pitch competition, WomanUp & Pitch.

Sponsored by the Consumers Energy Foundation, WomanUp & Pitch is a funding opportunity for women who are looking to start or grow an existing for-profit business. The nonprofit will is award up to $10,000 in prizes to women with the best pitches for a new business or way to expand their current business.

There will be four virtual pitch competitions in March 2022. West Michigan applicants will virtually pitch their business plan on March 3, mid-Michigan on March 10, southeast Michigan on March 24, and a statewide food business pitch competition will be conducted March 31.

Applicants will share their pitch with an audience comprised of business experts, fellow successful entrepreneurs, small business owners, potential investors, and community leaders.

“WomanUp & Pitch is an amazing opportunity for budding female entrepreneurs to develop their presentation skills, think strategically to create a strong business plan and make connections with the peers and business leaders,” says Carolyn Cassin, president and CEO of Michigan Women Forward. “We’re proud to play a role in providing women with these vital experiences to help them build successful businesses that will ultimately enhance their communities.”

Forty businesswomen will be selected as finalists and then divided into two categories:

  • Idea phase/startup (in business less than 3 years and revenue less than $250,000).
  • Established growth (in business for 3 years or more and/or revenue greater than $250,000).

The top 40 finalists will be connected to advisors, coaches, and mentors. Established women in business will serve as mentors and coaches and guide their mentee through the process of creating a viable business plan, as well as prepare them to take the stage to make their pitch.

Business plans will be reviewed in advance of the pitch competition by each judge. Business plans will account for 60 percent of the final score, while the pitch will account for 40 percent.

The first-place winner will receive $10,000, the second-place winner will get $5,000, and the third-place winner will take home $2,500. An audience choice of $1,000 will be awarded to the entrepreneur who receives the most audience votes in each location.

Applications for WomanUp & Pitch will be accepted until Nov 10. Applicant’s business must be at least 51 percent women owned. Female entrepreneurs across the state who need assistance in their application can receive support at two virtual training sessions by visiting miwf.org.

To apply for WomanUp & Pitch, visit here.

Albion College Launches New Academic Programs

Albion College, west of Jackson, has unveiled new academic programs that have been added to the college’s 2021-2022 class catalog and already are available for student enrollment.

Academic programs added to Albion College’s class offerings include:

  • Post-baccalaureate certificate in premedical studies.
  • Public health concentration.
  • Data science major.
  • Data analytics minor.
  • Sport communication major and minor.
  • Health communication minor.

This fall, the college also launched the new experiential certificate, an integrated blend of coursework, experiential learning, and professional training focused on a topic or field a student is passionate about.

“As an institution of higher learning, we continuously work to identify opportunities to evolve our academic curriculum to drive student interest and long-term success, as well as meet the needs of the post-graduate professional landscape,” says Ron Mourad, provost at Albion. “These additions to our course catalog are in direct response to the growing demand of professionals in healthcare, technology and communications. We look forward to welcoming students into these new programs and supporting them as they translate all they are learning in the classroom into action.”

For more information, visit albion.edu.

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