FansUnite Entertainment (CSE: FANS) announced today that it has acquired the gambling media portfolio, American Affiliate. The acquisition is reported to be for total consideration of US$58.2 million.
According to the terms of the agreement, the acquisition price is comprised of US$13.5 million in cash paid upon closing, US$41.7 million in common shares at $0.75 per share, and US$3.0 million in deferred cash payments over the next 24 months.
“This transformative transaction will provide us further access to the lucrative U.S. regulated sports betting and online gambling market while generating accretive, high-margin revenue, expanding our leadership team, and accelerating the growth of our company’s footprint in the global gambling market,” said FansUnite CEO Scott Burton.
The Canadian-based platform relayed that the transaction will enable its “accelerated entry” into the US gaming market. The acquisition will include American Affiliate brands like Betting Hero, Props, BetPrep, and Wagers.
The American gaming firm also reported US$13.1 million in revenue and US$6.0 million in EBITDA for the trailing 12 months.
FansUnite last traded at $0.53 on the CSE.
Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.
