The PointsBet Holdings Ltd (ASX: PBH) share price ended the day in the red despite an upbeat company update.
At today's closing bell, the sports betting company's shares finished 2.15% lower to $3.18.
This comes after the company announced an update in regards to its wholly-owned subsidiary, PointsBet Canada Operations 1 Inc (PointsBet).
PointsBet wins new multi-year partnership
Investors appear to be unfazed by the company's latest positive announcement, sending PointsBet shares into negative territory.
In a statement to the ASX, PointsBet advised that its wholly-owned subsidiary, PointsBet Canada has entered into a new multi-year agreement with Maple Leaf Sports & Entertainment (MLSE).
As such, PointsBet will become an official sports betting partner of MLSE's professional teams across 5 different sports. This includes the Toronto Maple Leafs (NHL), Toronto Marlies (AHL), Toronto Raptors (NBA), Toronto Argonauts (CFL), and Toronto FC (MLS).
Earlier this month, PointsBet Canada launched its proprietary iGaming and sportsbook operations in Ontario, Canada.
The company took its first online bet within 50 seconds of being on the state's regulated market.
Management noted that its continued iGaming growth is based on ease of use, accessibility, and the number of in-play betting options.
PointsBet Canada CEO, Scott Vanderwel touched on the partnership news, saying:
You rarely get the opportunity to partner with an organization that spans across all four professional leagues through the Toronto Maple Leafs and Toronto Raptors, Toronto FC and the Toronto Argonauts, and offers year- round entertainment within the sports market in Canada.
We are thrilled to be partnering with MLSE on this innovative and exciting relationship.
In addition, senior vice president of Global Partnerships, MLSE, Jordan Vader added:
We happily welcome PointsBet Canada as a partner of the Maple Leafs, Raptors, TFC and Argos as they enter the Ontario market with a well-established reputation in the sports betting industry.
We look forward to utilizing our partnership to provide 19+ fans of our teams with new and different ways of interacting and engaging with the sports they love with a trusted operator in PointsBet that prioritizes responsible gaming.
PointsBet share price summary
Adding to today's losses, the PointsBet share price has tumbled by more than 75% over the last 12 months.
These beatings have mostly come in 2022 following market concerns about the company's valuation and high marketing costs. When looking at year to date, PointsBet shares are roughly down by 55%.
Based on valuation grounds, the company commands a market capitalisation of approximately $834.33 million.
