Raketech has announced the acquisition of the P&P Vegas Group, a deal the business hopes will deliver growth on important markets.
The company feels that the sports-focused acquisition could help it grow in markets like the US, as it has strengthened its sports footprint within the growing US market.
In addition, the deal allows it to acquire assets like Picksandparlays.net and all assets from QM Media AB, including the cricket betting website Onlinecricketbetting.net which will bring in traffic from India.
Raketech expects its revenues originating from the US to double and Indian revenues to reach 5% to 10% of the group’s total. Meanwhile its sports vertical is expected to reach 30% of the group’s total revenues in Q4 this year.
The total purchase price of the agreement is €16m ($19m), which will be payable in cash and issuance of 3,881,968 new shares at closing.
Oskar Mühlbach, CEO of Raketech, said: “With these acquisitions, we are delivering on several strategically important goals; significant sports revenues, revenues from high growth markets, boots on the ground in the US and asset diversification and new revenue streams.
“Furthermore, by adding such a strong brand like PicksandParlays, Raketech will be able to add significant value to the US business through the implementation of the affiliate marketing sales in all licensed states. And with the talented and committed team that comes with the acquisition, I am very much looking forward to having them join forces with our central operations team to accelerate growth even further.”
Marcus Egstam, CEO of QM Media added: “By partnering with Raketech we gain access to their well-established infrastructure that will help leverage our strong brands and market positions. We are enthusiastic to become shareholders in Raketech and to be a part of the exciting future we have planned.”