Betsson Group has secured approval from anti-trust regulators to proceed with its planned acquisition of Gaming Innovation Group’s (GiG) B2C assets, with the deal now set to go through by the middle of April.
GiG in February agreed to sell its B2C assets, including the Rizk, Guts, Kaboo and Thrills brands, to Betsson in a deal worth €33.0m (£28.9m/$35.9m).
Betsson and GiG had required approval from certain anti-trust regulatory bodies in order for the deal to go ahead. With this now secured, the deal could close as early as next week.
Under the agreement, Betsson will pay €33.0m on closing, including €2.0m for the cash deposit to secure GiG’s Spanish casino license.
GiG said it would use part of the proceeds to repay a SEK300m bond for the period between 2017 and 2020 bond. With this, GiG said it would be able to strengthen its balance sheet and significantly reduce the financial leverage ratio.
At the time of the original sale announcement, GiG said its decision to offload its B2C vertical was a result of a strategic review to reduce complexity and improve efficiency.
By divesting the B2C vertical, GiG said this would free up resources, enabling it to focus more on driving and growing its B2B business, securing both stable and sustainable earnings and profit margins.
“GiG sees a large and sustainable addressable market for its platform business as the regulation of the igaming industry continues and is well positioned with the omni-channel platform offering to capitalise on the continued digital transformation of the worldwide gambling market,” GiG said.