The total consideration is €45 million, of which €20 million will be paid in cash on closing, €10 million twelve months after closing and the €15 million balance 24 months after closing. Closing is expected in Q1 2023.
Askgamblers.com is an award-winning website recognised as a well-trusted website source in the iGaming industry with strong brand recognition by users. Johnslots.com and Newcasinos.com build on GiG Media’s strategy to diversify its business. With this acquisition, GiG Media cements its position in the industry as the leading casino affiliate.
The acquired websites generated revenue of €12.9 million in the first nine months of 2022 with an EBITDA of €8.4 million. GiG expects to have an EBITDA margin between 60-70% from the assets going forward. The assets are expected to generate around 53.000 FTDs in 2022.
The acquisition will diversify GiG Media’s business further in line with the strategy to create sustainable long-term growth and provide the business with several key strategic assets and multiple revenue opportunities.
The acquired websites are strong in markets that currently are non-core markets for GiG Media, therefore expanding our current geographical reach. Further to the revenue growth potential, operational synergies are expected to be realised after the acquisition via the shared use of marketing technologies, business intelligence systems and key functions.
Morten Hillestad, Director of Business Development in GiG Media, said: “After three years of consolidating and expanding the GiG Media business – realising strong annual organic growth – the time was ripe to act when this acquisition opportunity emerged. GiG Media has developed world class marketing technology and operational capabilities over the preceding years, and we feel that bringing the AskGamblers brand into the company structure will provide multiple opportunities for it to flourish.”
Jonas Warrer, Managing Director of GiG Media, added: “We are very pleased to welcome quality websites such as askgamblers.com into the business and look forward to integrating with the skilled teams that have built up the websites acquired. We want to be the leading casino affiliate in the industry, and this acquisition cements our position.”
Catena Media CEO Michael Daly commented: “Today’s agreement is a major step in our journey to focus the business on online sports betting and casino affiliation in high-growth, regulated markets in the Americas. I am confident that in GiG we have found a buyer that will provide a strong environment for AskGamblers and the other brands and their talented people to develop and grow.”
Richard Brown, CEO of Gaming Innovation Group concluded: “GiG is extremely excited to take over the premium AskGamblers brand from Catena. Combining the assets with GiG’s media technology and operational capabilities, provides us with a great opportunity to expand our global reach and to deliver a path for the brand to continue with its strong evolution. The expansion of our strategic position in conjunction with the deal structure gives the group another great blueprint for growth. We look forward to integrating the assets and current staff into Gaming Innovation Group.”
Source: GMB
