Esports Technologies acquires Aspire Global’s B2C business
Las Vegas-headquartered firm to cross-sell esports betting to casino players after $75.9m cash and stock purchase
Esports Technologies has sealed a $75.9m deal with Aspire Global to acquire its B2C business.
The esports betting product and technology provider is looking to branch into B2C online gambling and will acquire Aspire’s portfolio of online casino and sportsbook brands as part of the deal.
Esports Technologies will assume control of brands including Karamba, Hopa, Griffon Casino, BetTarget, Dansk777 and GenerationVIP.
Esports Technologies said it intends to use the acquisition to “cross-sell esports wagering opportunities to increase its esports revenue, player bet transactions and customers”.
Under completion of the deal, Esports Technologies and Aspire will enter into a four-year partnership whereby the latter will provide managed services for the acquired brands to ensure operational continuity.
Those terms will help Aspire to achieve its aim of becoming a pure B2B gambling supplier.
The $75.9m transaction is broken down into three components, with $58.3m in cash, $11.7m in the form of a promissory note and around $5.9m worth of Esports Technologies common stock.
The transaction is expected to close by 30 November 2021.
Aaron Speech, Esports Technologies CEO, said: “The acquisition of Aspire’s B2C business will be a transformative opportunity to accelerate growth by offering esports wagering to 1.25 million new deposited customers.
“Our company is in a strong position to benefit from the heightened popularity and growing interest in esports.”
Tsachi Maimon, Aspire Global CEO, commented: “With Aspire Global’s B2C brands, Esports Technologies gains leading, well-established brands, an excellent base for further growth and a very talented team that contributed to the B2C’s growth.
“We are confident that Esports Technologies will take our B2C brands to the next level.”
Elsewhere, Esports Technologies has entered into binding agreements with investors for the private placement of $36.2m of convertible preferred stock at an initial price of $28.