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FansUnite (TSX:FANS) sells McBookie subsidiary for tidy profit

 Trevor Abes Trevor Abes , The Market Online
0 Comments| May 2, 2023

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  • FansUnite (FANS) has sold its wholly owned McBookie subsidiary for US$4,016,544, or just over C$5 million in cash
  • The company acquired McBookie in March 2020 for C$2.2 million, including C$1 million in cash
  • McBookie is the dominant Scottish-focused sportsbook and online casino in the U.K.
  • FansUnite is a global sports and entertainment company focused on technology related to regulated and online gaming
  • FansUnite (FANS) opened unchanged trading at $0.065 per share

FansUnite (FANS) has sold its wholly owned McBookie subsidiary for US$4,016,544, or just over C$5 million in cash.

The figure represents over 7x McBookie’s record 2022 EBITDA.

The arm’s length third-party sale comes just over three years after FansUnite acquired McBookie in March 2020 for C$2.2 million, including C$1 million in cash.

McBookie is the dominant Scottish-focused sportsbook and online casino in the U.K. It has produced three consecutive years of revenue growth, a gross win increase of 451 per cent and a turnover increase of 305 per cent under FansUnite’s ownership.

“This is a great deal and outcome for McBookie and for FansUnite,” said Scott Burton, CEO of FansUnite. “We began a path of streamlining and focusing our business in 2022. With the U.K. continuing to tighten regulations on gaming operations, we felt it was time for FansUnite to exit the B2C space. We will be able to focus more resources on the segments of our business that offer the highest growth potential with good margins, specifically the U.S. marketplace and affiliate opportunities.”

FansUnite is a global sports and entertainment company focused on technology related to regulated and online gaming.

FansUnite (TSX:FANS) Stock opened unchanged trading at $0.065 per share.

The materials provided in this article are for information only and should not be treated as investment advice. For full disclaimer information, please click here.





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