Canada-listed Gaming Nation has successful acquired UK stadium betting services provider BD Sport for a total purchase price of £11,000,000 (US$13 million).
Insider Media reported that Gaming Nation has closed the purchase of the UK-based in-stadia marketing specialist after satisfying the conditions and securing regulatory approvals in the United Kingdom and Canada.
The purchase price consists of a total cash payment of £8,800,000 with an additional earn-out provision of up to £2.2m.
“We are excited to have closed the acquisition of BD Sport Group and look forward to integrating the infrastructure and management expertise into our operations,” Gaming Nation President and CEO Scott Secord. “The combined synergies of 5050 Central and BD Sport will provide a platform for growth in both companies in an aggressive and profitable fashion.”
BD Sport, which was founded in 2007 to provide stadium betting services for sports teams and brands, provides growth opportunities for Gaming Nation since its current business model allows for profitable operations in venues which fan attendance averages 20,000 or greater.
It runs betting at 31 stadiums in the UK, employing nine full-time employees and more than 1,000 match-day staff.
BD Sport’s match-day betting service is currently operational with a range of clubs including Manchester United, Manchester City, Liverpool, Everton, Arsenal, Chelsea, Tottenham Hostpur, Norwich City, Newcastle United and Sunderland.
Adding 5050 Central’s raffle platform to its current operations will allow BD Sport to operate in more than 200 new venues throughout Europe with average attendance of 5,000 or more fans.
In the event that sports wagering is legalized in certain jurisdictions in the United States the combined companies would be extremely well positioned to capitalize on this opportunity.
A team of lawyers from Naphtens, including Phil Brown and Natalie Lewis, advised the Lancashire-based firm on the sale while Gaming Nation was advised by the London office of law firm Pillsbury Winthrop Shaw Pittman.
Naphtens partner and head of corporate Richard Robinson said: “We’re delighted to have advised BD Sports on this deal and now look forward to seeing the company grow under the Gaming Nation umbrella.”