Jackpot.com Secures $10M Funding to Expand Its US Lottery Services
Jackpot.com Advances US Expansion with New Funding
Jackpot.com, a prominent independent lottery courier service, has recently secured $10 million in funding to accelerate its growth across the United States. Currently active in seven states, the company aims to broaden its reach by entering additional markets soon.
Details of the Funding Agreement
The $10 million revolving credit line comes through support from Discerning Capital’s House Advantage Fund alongside PvX Capital, an expert financial services firm based in Singapore. This capital injection is set to boost Jackpot.com’s efforts to expand within current states and enter new ones.
Presently, Jackpot.com’s service covers Arizona, Arkansas, Colorado, Massachusetts, New Jersey, New York, and Ohio. In some states like Colorado, Massachusetts, and Ohio, customers can also purchase scratch-off lottery tickets through the platform.
Endorsements from Leadership and Investors
Jackpot.com’s co-founder and CEO, Akshay Khanna, expressed great appreciation for the funding partners. He highlighted the House Advantage Fund’s collaborative approach and flexibility in shaping a funding solution tailored specifically to Jackpot.com’s growth plans.
“The real-time data provided by PvX’s platform, combined with Discerning’s adaptable financial structuring that supports our acquisition strategy, played a crucial role in our partnership decision. We are excited to work alongside them as we rapidly expand our business,” Khanna stated.
Akshay Khanna, co-founder & CEO
David Williams, partner at Discerning Capital, also emphasized the promising potential within the lottery industry and acknowledged Jackpot.com as a leader in innovating a long-established market.
“We found Jackpot.com to be the ideal partner, understanding their business cycle around billion-dollar jackpots and continuously impressed by their team,” Williams noted.
David Williams, partner, Discerning Capital
Challenges: Legal Concerns Around Lottery Courier Services
Despite the growing customer enthusiasm for the convenience lottery courier platforms offer, certain states have raised concerns about the legality of these services. Lawmakers in some regions have challenged the operation of lottery couriers, leading to legal restrictions.
For example, in Texas, the surge in the use of lottery courier services contributed to a significant controversy that resulted in the banning of these platforms and the disbandment of the Texas Lottery Commission. This development highlights the varying regulatory landscape that companies like Jackpot.com must navigate as they expand.
