Gaming Innovation Group (GiG) has agreed to sell its B2C assets to operator Betsson for an initial fee of €31m ($33.6m).
The fee consists of €22.3m in cash payments, plus a pre-paid platform fee of €8.7m
Through the deal, Betsson has agreed to maintain the B2C brands on GiG’s platform for a minimum of 30 months, paying a platform fee based on NGR generated for the first 24 months.
Including these platform fees, GiG expects the total value of the deal to be approximately €50m.
GiG decided to sell the assets after a strategic review in November 2019, which saw the company develop a plan to reduce its complexity and improve efficiency.
Richard Brown, CEO of GiG, said: “I am very excited about this transaction as it provides multiple upsides to GiG.
“While putting the company in a financially sustainable position, it gives us the ability to focus on where we see real long term shareholder value.”
Pontus Lindwall, CEO of Betsson, said: “We believe this deal offers a good opportunity for Betsson to consolidate, create synergies and apply our core B2C skills and marketing insights to scale these assets to their true potential.
“The agreement with GiG further strengthens and expands Betsson’s outreach and growth potential for its proprietary sportsbook and payments platforms in the B2B market.”