Entain acquires Avid Gaming, including Sports Interaction, Let the buy outs and take overs begin.
Entain acquires Avid Gaming, including Sports Interaction, for C$300M
- Entain (OTCPK:GMVHY +2.2%) acquired New Jersey headquartered Deis or Avid Gaming for C$300M from Middlebrook Investments; consideration paid from existing facilities.
- Avid Gaming owns Sports Interaction, Canada’s leading online sports betting brand and has offices in the Mohawk Territory of Kahnaw:ke and Ireland.
- With Canada being a highly attractive and fast-growing sports betting and gaming market, Entain's application for an Ontario license and the acquisition provides an excellent opportunity to drive further growth, in line with the company's growth and sustainability strategy.
- The combination is expected to deliver ~C$15M of synergies in 2023, led by technology, content and procurement benefits; this leads to post synergies acquisition multiple for Entain of ~7x 2023 EBITDA.
- Sports Interaction’s sports-led offering is highly complementary to Entain’s existing Canadian business, comprising the Party and bwin brands.
- Sports Interaction 2021 gross revenues increased by 40% Y/Y to C$76M; EBITDA stood at C$18M and profits before tax of C$17.4M; as of Sep.30, 2021, it had gross assets of ~C$41M.