Betsson have announced some exciting news heading into 2020 as they have recently acquired Gaming Innovation Group’s (GiG) business to consumer (B2C) operations. GiG currently has several online casinos under their umbrella which are Guts Casino, Kaboo Casino, Rizk Casino and Thrills Casino all of which have now been acquired by Betsson. The new acquisition will have exciting times ahead for all involved!
Betsson Acquire GiG
GiG who are listed on the Oslo and Stockholm Stock Exchanges have now been bought by Betsson as they acquire the GiG subsidiary Zecure Gaming Limited. All of the assets, business activities, operations, front-end middleware technology and gaming licenses attributable to B2C operations for providing online gambling through the acquired brands will now be transferred.
The brands owned by GiG operate with licenses from Malta, UK, Sweden and Germany (Schleswig-Holstein) and Rizk Casino will soon launch with licenses in Spain and Croatia.
Betsson has acquired GiG and brands that include Guts, Kaboo and Rizk.
The acquisition will also see Betsson continue to consolidate their position in key markets and open up even more opportunities. This will now include possible opportunities with brands in both Spain and Croatia.
They also announced that they are planning on integrating their own proprietary sportsbook and payment platforms with the GiG platform. This means Betsson will then be able to offer their technologies to potential B2B clients of GiG. Part of the acquired business is already conducted in markets where Betsson already operates which allows for the release of synergies.
Financing the Acquisition
The revenue of the acquired business throughout 2019 was €77 million and EBIT was €7.6 million while the initial consideration of the acquisition is €22.3 million. Part of the acquisition means that Betsson has entered into a platform service agreement with GiG for a minimum of two and half years in order to host the brands acquired on the GiG B2B platform.
Long Term Ambitions
Speaking about the new acquisition Pontus Lindwall who is the CEO of Betsson AB and Group President said “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.”
He also added “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.”