Catena Media acquires German affiliate for €26.5m

Under the terms of the deal Catena will pay a total consideration of €26.5m, of which €13.25m will be paid with newly-issued shares in Catena Media while the remainder will be paid in cash.

The acquisition deal also includes a further earn out agreement based on the performance of the purchased assets over a 24-month period, potentially adding a further €65m to the acquisition cost.

Baybets is expected to generate quarterly sales of approximately €2.25m with an operating margin of approximately 70%. Catena Media have confirmed that the company’s 23 staff will be integrated into Catena’s existing sports betting division.

In a statement announcing the acquisition, Henrik Persson Ekdahl, Acting CEO of Catena Media, said: “We are proud to announce the largest acquisition made by Catena Media since company inception, making us one of the strongest sports betting affiliate players on the market.

“We have set ambitious financial targets for the company, and the acquisition is fully in line with those targets. We are excited about being able to complete this deal, given the upcoming sports year of 2018, which will have both the Winter Olympics and the World Cup.”

Baybets’ business model is centred on the German-speaking DACH markets, and its 50-strong affiliate website portfolio includes sites such as sportwetten.org and sportwette.net.

Commenting on the acquisition. Jan Steffen, CEO of Baybets added: “I would like to thank all the people that have been involved in the company’s journey so far, bringing us to where we are today.

“We now look forward reaching new heights together with Catena Media on a long-term basis, both from an operational perspective and as shareholders. We are excited for all the upcoming opportunities that await.”

Stay updated with GI

Follow Gambling Insider for independent news, analysis and industry expertise.

Add as a preferred source on Google

Robert Simmons

Gambling Writer

Robert Simmons served as a writer for Gambling Insider, where he was an active contributor from 2017 until 2018. Throughout his tenure, Robert executed in-depth market research and wrote over 500 news and press-release articles covering the global gambling industry under strict editorial standards and tight deadlines. He contributed editorial support to the production of five 100+ page Gambling Insider magazines, eight 25+ page Trafficology magazines, and five 25+ page special print focus editions. In addition, he produced 30 in-depth feature articles for print, secured over 30 contributions from external writers, and built long-standing professional relationships with industry stakeholders across all levels of the gambling sector.

Visit Profile