Catena Media's UK expansion continues with SBAT acquistion
Malta-based performance marketing firm acquires the sports affiliate for as much as €13.7m
Catena Media has ramped up its M&A strategy once more with the acquisition UK-based affiliate SBAT in a deal worth up to €13.7m.
The agreement will see the Malta-based lead generation firm pay an initial €3.2m and an additional earn-out of up to €10.5m for SBAT – a social media sports news, betting and tipster site.
As part of the transaction, Catena Media will acquire the website, technology and 15 employees from SBAT which currently has a revenue run rate of approximately €400,000 per quarter and operating margin of 55%.
SBAT is focused predominantly on the UK online gambling market via paid and organic traffic. SBAT will be integrated within Catena Media UK to utilise the synergies between the two operations.
“We are very pleased with this strategic acquisition as it strengthens and diversifies our paid media position, as well as our social media capabilities,” Robert Andersson, CEO of Catena Media, said.
“The focus on sports and regulated markets, and its exciting product portfolio is a perfect fit. SBAT will complement our existing operations with strong potential synergies, at the same time as we continue to diversify our revenue base.”
Gary Gillies, founder and CEO of SBAT, added: “We are really looking forward to become part of Catena Media as this is a company that is actively driving innovation and that is in the forefront within lead generation. We really look forward to work together.”
Catena Media has completed a number of high-profile affiliate acquisitions during 2016, including £12m deal to acquire online casino affiliate AskGamblers.
News of the acquisition came just weeks after the Malta-headquartered business bought Sweden-facing affiliate network Wonko Media for £2.7m and a number of additional casino comparison websites for £2.4m.