GiG is listed on the Oslo and Stockholm Stock Exchanges and the brands operate under licenses held in Malta, UK, Sweden and Germany (Schleswig-Holstein). The Rizk brand will soon be launched under licenses held in Spain and Croatia.
Betsson will, through this agreement, become a long term partner of GiG, generating revenues to GiG's Platform Services. On the day of closing, Betsson will pay €31 million, consisting of a €22.3 million cash payment for the acquisition, plus a prepaid platform fee of €8.7 million.
Betsson acquire the GiG subsidiary Zecure Gaming Limited, where the assets, business activities, operations, front-end and middleware technology and gaming licenses attributable to the B2C operations for providing online gambling through the acquired brands will be transferred.
Through this acquisition, Betsson will continue to consolidate its position in key markets and open up for more opportunities with different brands in Spain and Croatia. Recently, the company has just bought 75% of Brazilian Suaposta and began operations in the country. Further, Betsson intends to integrate its own proprietary sportsbook and payment platforms with the GiG platform, which will enable the company to offer its technologies to potential B2B clients of GiG
"Betsson's ambition is to outgrow the market in the long term, organically and through acquisitions. This acquisition confirms that Betsson is a driver of the consolidation of the market. We believe this deal offers a good opportunity for Betsson to consolidate, at good value, where we can create synergies and apply our core B2C skills and marketing insights to scale these assets to their true potential,” says Pontus Lindwall, CEO of Betsson AB and Group President.
“The agreement with GiG further strengthens and expands Betsson's outreach and growth potential for its proprietary sportsbook and payments platforms in the B2B market. As one of the largest European operators, Betsson is well positioned to continue building on its strategic position," Lindwall added.
The transaction is conditional upon customary regulatory approvals and completion of the deal is expected in mid-April 2020.