Gambling.com Group eyes US IPO
SEC to review affiliate's financial situation as it gears up for Nasdaq Stock Exchange listing
Gambling.com Group has triggered a process with the Securities and Exchange Commission (SEC) to become a public company in the US.
The affiliate filed an F1 notice with the SEC, which will now review the firm’s financial prospectus ahead of the potential approval of its listing on the Nasdaq Stock Exchange.
Billing itself as a lead generation company, the firm outlined its belief in value generation for consumers and operators, suggesting the conditions were right to pursue an IPO.
“In many ways, we are more akin to an online media company as our revenue is derived primarily from online marketing. We take high-value gambling industry domain names and develop them into market leaders,” the company wrote in its prospectus.
Gambling.com Group cited data which found that no online gambling affiliate had more than a 5% global market share, based on the 2020 revenue of the company and its competitors.
“This presents a major opportunity for us to capture a leading position in the market,” Gambling.com Group wrote.
A key driver of this is greater expansion in the US market, which the firm hopes will become its largest operating market by revenue due to the future digital migration of US operators.
It suggested this could be achieved by “deploying publishing assets” on both a national and state-based level, as well as adding US-facing content to its international portfolio.
Revealing its goal to obtain a licence in all states with a “viable market”, Gambling.com Group suggested the recent passage of single-event betting legislation in Canada also presented a significant additional opportunity for the firm.
Internationally, Gambling.com Group pointed towards potential expansion into the Netherlands and Latam territories as these jurisdictions move towards regulated operations, potentially via M&A.
“We expect this environment will lead to tactical opportunities for us to acquire strong, sub-scale online gambling affiliates,” the firm wrote in its prospectus.
“Our experience and technological capabilities position us as a sophisticated player to acquire strong sub-scale online gambling affiliates that will benefit from our more established processes.
“We plan to continue to leverage our history of successful acquisitions and internal organic growth to search for potential targets with strategic assets and strong management teams,” the firm added.