GiG Sells Casino Brands to Betsson
Gaming Innovation Group (GiG), the major provider of platform services for casino operators, has sold a number of business-to-client (B2C) brands to the Betsson Group. Betsson will go on to operate four well-known GiG casinos: Kaboo, Gusts, Rizk and Thrulls.
GiG and Betsson will become long-terms partners, with GiG becoming a provider of platform services to Betsson. Furthermore, Betsson’s sportsbook product will become available to operators that work with GiG.
GiG estimates the transaction to reach a value of €50 million over the next two years.
Betsson will pay an initial €22.3 million for the acquired brands. There is also a payment of €8.7 million for platform services. Finally, Betsson will pay a premium platform fee over a period of 24 months, calculated from their NGR (net gambling revenue).
GiG has announced it will use the initial payment of €31 million to repay a SEK300 million bond that expires this year.
According to the share purchase agreement (SPA), the deal will take until April 2020 to complete. This is because the companies must meet the demands of different regulating bodies that must give their final approval for the transaction.
Betsson and GiG
The GiG-Betsson partnership is bound to bring important developments in the iGaming sector. Each company will provide the other with important resources, which will benefit businesses and players across Europe.
The Betsson Group is an important European online gambling company listed in the Nadaq Stockholm stock exchange. They are behind more than sixteen different brands, which will now include the GiG casinos.
Betsson has spent the last few years developing an impressive sportsbook, which will become available on the GiG platform.
The Gaming Innovation Group is a major platform service provider for casino operators. They specialise in business-to-business (B2B) services.
The sale follows a strategic review of the company’s activities. Its final aim is to allow the company to focus entirely on its B2B solutions.
Why this matters
Business news in the online gambling world carries one fundamental point of interest for players: their accounts and funds.
Player accounts and funds are guaranteed to be fully protected.
For starters, the SPA binds Betsson to continue operating all the casino brands for a minimum 30 months. That’s two-and-a-half years that players can continue to use their accounts on Rizk, Thrulls, Guts and Kaboo.
The exciting news is that Betsson’s sportsbook will be available on all four casinos.
But what really interests me about this development is that both brands will have access to new resources. We still don’t know what the future will bring, but it’s possible we may see new features on offer on Betsson casinos, such as new developers and games, payment methods and more.
So make sure to keep an eye out for future news!