This agreement totalled $75.9m, made up of $58.3m in cash, $11.7m in a promissory note and $5.9m worth of common stock. The transaction is expected to close by 30 November 2021 with the acquisition subject to Esports Technologies' receipt of financing and closing requirements.
The deal will see Esports Technologies acquire Aspires B2C’s online casino and sportsbook brand portfolio. These include brands such as Karamba, Hopa, Dansk777, BetTarget, Griffon Casino, GenerationVIP. Including this, the company will obtain 1.25 million of Aspire’s depositing customers. Upon completion of the acquisition, both companies will enter an agreement whereby Aspire provides four years of services.
Aaron Speach, Esports Technologies CEO, said: “The acquisition of Aspire’s B2C business will be a transformative opportunity to accelerate growth. Our company is in a strong position to benefit from the heightened popularity and growing interest in esports.”
The acquisition is not only a beneficial move for Esports Technologies, but a strategic one. By cross-selling esports betting opportunities, this deal will further Esports Technologies' aims in increasing its customer base, alongside its esports revenue and overall bet transactions.
The performance of Aspire’s B2C revenue (for the 12 months ending June 2021) saw numbers of $73.9m in revenue, with EBITDA standing at $8.2m. During this period the B2C business reported wagering of $1.8bn and over 1.3 billion bets. These numbers could be seen as advantageous for Esports Technologies' acquisition and the expansion of the company.
Tsachi Maimon, Aspire Global CEO, said: “Esports Technologies is a strong company with high growth ambitions and is a perfect match for our B2C brands. 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, and we welcome Karamba and the other B2C brands as our new partners.”
