Friday October 1st, 2021 Esports Technologies announced the definitive agreement to acquire Aspire Global’s B2C activity which has recorded $ 1.8 billion in bets as well as $ 73.9 million in revenue over the past twelve months. Upon closing of this new deal, Esports Technologies will receive Karamba, Dansk777, Hopa, Griffon Casino, GenerationVIP, BetTarget and 1.25 million customers already deposited in the palm of their hands.
Esports Technologies, Inc. (Nasdaq: EBET), which happens to be one of the world’s leading operators of progressive gambling technology products, services and platforms, has just announced the signing of the definitive agreement for the acquisition of Aspire Global’s B2C activity (STO: ASPIRE). via a total transaction of $ 75.9 million. This transaction includes $ 58.3 million in cash, $ 11.7 million in promissory note and approximately $ 5.9 million in common shares. Closing of this new acquisition agreement is subject to receipt of funding by Esports Technologies and other specific closing requirements. The transaction is expected to be finalized and closed around Tuesday, November 30.e, 2021.
Under the terms and conditions of this agreement, Esports Technologies will take control of Aspire Global’s powerful business portfolio of exclusive online casino and online sports betting brands which currently include Karamba, Hopa, Griffon Casino, BetTarget, Dansk777 and GenerationVIP. From a tactical standpoint, Esports Technologies plans to use the multi-brand agreement to cross-sell esports gaming opportunities so that they can increase its e – sports income, betting transactions of players and customers.
In the most recent twelve-month period ending June 2021, Aspire Global’s business-to-consumer revenue was estimated to be approximately $ 73.9 million and its EBITDA was approximately $ 8.2 million. During the same period, business-to-business trading has documented stakes of around $ 1.8 billion as well as just over 1.3 billion bets.
Upon finalization of the agreed agreement, Aspire Global along with Esports Technologies will enter into a contract in which Aspire Global will provide 4 years of managed and fully operated services for the newly acquired brands agreed to in the agreement. This will ensure operational continuity and allow Esports Technologies to grow and increase their operations in key target markets.
Esports Technologies has entered into binding contracts with retail investors that allow a private placement of $ 36.2 million consisting of convertible preferred shares at the initial conversion of $ 28 / share, and this agreement is subject to adjustments at the future and allows the purchase of common shares. The conversion of the preferred shares and the exercise of the warrants are subject to the general approval of the shareholders for this income. Needham & Companyacted as the sole investment client for the private placement.
The CEO of Esports Technologies, Aaron Speech, declared, “The acquisition of Aspire’s B2C business will be a transformational opportunity to accelerate growth by offering esports betting to 1.25 million new registered customers. Our company is well positioned to take advantage of the growing popularity and growing interest in esports.
The CEO of Aspire Global, Tsachi Maimon, Explain, “Esports Technologies is a strong company with strong ambitions for growth and fits perfectly with our B2C brands. With Aspire Global’s B2C brands, Esports Technologies gains leading and well-established brands, an excellent foundation for future growth and a very talented team that has contributed to the growth of B2C. We are confident that Esports Technologies will take our B2C brands to the next level, and we welcome Karamba and other B2C brands as our new partners.
Links to the conference call regarding the details of this new acquisition
A conference call is scheduled for Monday, October 4e, 2021 at 4:00 p.m. EDT, to review the details of the proposed acquisition. The link to listen to the call is: Esports Technologies to Acquire Aspire Global – 1502560.
A replay of the call will be available on Esports Technologies’ Investor Relations page at: Investor Overview – ESPORTS Technologies Inc.