The deal consists of $8m up front, plus a $2m performance-based earn-out payment, which would be paid in 2022. The deal is set to close in the second quarter of the year.
Banknote – which prints lottery tickets as well as Canada’s currency, with clients including the Ottawa Senators, Toronto Maple Leafs, Toronto Raptors and Toronto Blue Jays – would then acquire Bump 50:50, which powers in-stadium raffles for professional sports teams.
Sportech said it hoped to use the funds from the deal to invest in its plans to launch sports betting in Connecticut if the vertical is permitted there. It already powers betting on racing and jai alai in the state.