Affiliate Better Collective has reached a signed agreement to acquire 100% of the shares in the sports media platform, Action Network.
The deal will cost Better Collective $240m on a cash and debt free basis; however, the company expects to raise its revenue in the US to more than $100m by 2022.
Action Network was founded in 2017 and launched a year later; it is a trusted source for sports fans in the US which provides users with sports news content, premium insights, odds and betting data.
This year, the network is expected to reach revenue of $40m, which would represent an increase of 100% year-over-year. As the US continues to legalise sports betting, the company hopes to expand partnerships with big brands like DraftKings and FanDuel.
Better Collective expects the US market to continue growing, with total sports betting revenue in the US forecasted to be $4bn in 2022 and $40bn in 2033.
Better Collective CEO, Jesper Søgaard, said: “I am thrilled to welcome Action and its employees to Better Collective. This acquisition, which is the largest in Better Collective’s history, gives us a leading position within affiliation in the US and a strong foundation for profiting from the continuous regulation of the US betting market.
"We add three new, very well-positioned US sports media brands to our portfolio and welcome around 100 new colleagues, together representing an invaluable pool of knowledge and expertise on the US sports betting media market. By all accounts, this is a great day for Better Collective.”
Action Network CEO, Patrick Keane, added: “Today marks a great achievement in the history of Action. In just a few years, our team has managed to build a leading sports betting product and media business in the US market, making us attractive to a leading international player. I am thrilled about this outcome for our employees and investors, and we look forward to continuing to forge great relationships with our league, media and sportsbook partners.
"Under Better Collective’s ownership, we become part of a company with many years of experience and all the resources necessary to further grow our position and develop our offering, to ultimately enhance the betting and entertainment experience for sports fans. We gain new colleagues, career paths and perspectives. I’m looking very much forward to the journey ahead."
The latest deal builds on Better Collective's earlier acquisitions, when the affiliate bought casino affiliate brand Atemi Group and esports site HLTV.org.