GiG to acquire Sportnco

By Simon Wright, Last updated Nov 28, 2022

The Swedish B2B iGaming business GiG, who back in February 2020 offloaded their B2C operations to the Betsson Group, so as they could concentrate on their iGaming compliance business and  also their game platform solution, have announced today that they plan to acquire Sportnco.

Sportnco are an independent sports betting and iGaming business with a presence in Europe, South America and the US and are regarded as a leading platform providers of turnkey betting and gaming solutions for operators in regulated markets.

The total value of the acquisition is €50.8 million, whereof €23.5 million will be paid in new shares in GiG and €27.3 million in cash. Gaming Innovation Group will also take on the debt that Sportnco has on their books, which currently amounts to €19.2m.

Additionally GiG have entered into an agreement with the SkyCity Entertainment Group, who will upon the completion of the acquisition of Sportnco invest €25m into GiG.

Speaking about the news, GiG’s Chief Executive Officer Richard Brown, said: “We are tremendously excited to welcome Sportnco into Gaming Innovation Group product offering. The transaction accelerates our long-term vision to become a global leader in the provision of platform, sportsbook and media services to the iGaming industry.”

“The hugely complimentary regulatory profile and high-quality sportsbook that Sportnco have, rapidly expands both companies short- and long-term addressable market.”

“Herve and the team at Sportnco have built a fantastic company over the last decade, creating a great product and working in a range of competitive regulated markets and have a proven track record of success.”

“We are very excited to combine the two companies’ offerings and accelerate our growth potential.”

Adding to Brown’s comments, Hervé Schlosser,  the CEO and founder of Sportnco, said: “GIG and Sportnco really have the perfect match both in terms of product and geographical areas of business but also as they share the same corporate values. I am excited by the sales potential of our combined offerings.”

“Sportnco sportsbook will add strength and attractiveness to the offer of GIG and our mutual PAM solutions will enable us to cover European and American regulated markets for all our existing and future clients.”

While Michael Ahearne the CEO of the SkyCity Group, stated: “We are excited that SkyCity is expanding its strategic partnership with the GiG team. GiG is an established online operator who we have come to know well since partnering in mid-2019 to launch the SkyCity Online Casino.”

“The partnership has provided SkyCity with access to a complementary and high-growth gaming category and has enabled us to pursue an omnichannel strategy. The combined GiG/SportNCo business will be licensed or certified in over 20 jurisdictions, including growth markets such as the US, Canada and Latin America.”

“We are delighted to support GiG in the financing of the transaction, becoming a major shareholder and helping GiG execute on its strategic vision through representation on the Board. Importantly, the equity investment builds our digital capability and strengthens our strategic alignment with GiG.”

Commenting on SkyCity’s future role as a shareholder in the business, GiG’s Brown added: “We are also delighted to bring on SkyCity as a new shareholder, a company held in high-regard within the land-based segment of the industry.”

“Both companies’ outlook and focus around the ever-evolving digitalisation of gambling is expected to enable strategic gains, with GiG benefiting from decades of retail experience to fine-tune our offering and SkyCity benefiting from first-hand digital experience that GiG holds, and new opportunities brought about by the transaction with SportNCo.”

---