BetMakers, a specialist in technology, data and service solutions that simplify betting at critical points along the wagering lifecycle, unveiled its acquisition of LVDC, a Nevada-based service provider. The deal is expected to generate millions in revenue for the buyer.
BetMakers to Acquire LVDC
In its latest investor presentation, BetMakers announced that it has signed binding terms to acquire LVDC. The former company described the latter as the “only approved pari-mutuel service provider for Nevada’s gaming industry.”
BetMakers explained that LVDC is a major local player that serves a variety of sportsbooks, racebooks, bars, taverns and online platforms. BetMakers further elaborated that LVDC provides pooling into hosted racing pools from around the world, including ones on North American racing.
In its announcement, BetMakers said that the deal would expand its strategic footprint and network by capitalizing on inherent synergies with LVDC.
According to the announcement, BetMakers will pay $800,000 in cash for the acquisition. The company will also pay an initial acquisition deposit of $250,000 payable after a 45-day due diligence period. The deposit will include a $25,000 fee that will be paid to LVDC even if BetMakers decides to forgo the deal, with the remaining $225,000 to be paid if BetMakers proceeds with the deal.
The deal is furthermore dependent on a variety of regulatory approvals.
BetMakers Seeks to Position Itself at the Heart of Global Gaming
In its announcement, BetMakers said that it will leverage its technology and network to monetize LVDC’s customer relationships and Las Vegas footprints. The former company expects the transaction to generate approximately AUD 4 million in revenue for its business.
BetMakers further stated that the deal would provide it with a foothold in the “heart of global making,” cementing its presence in Nevada. The acquisition of LVDC would furthermore open new revenue channels by significantly bolstering BetMakers’ horse racing content offering.
BetMakers’ gaming tech would further enhance the value of the deal, elevating the end-user experience across both retail and digital betting channels.
In addition to that, BetMakers forecast cost efficiencies and growth opportunities that would result in favorable returns.
BetMakers Published a Financial Update
In addition to announcing its planned acquisition of LVDC, BetMakers published a financial update, saying that its revenue for the third quarter of the fiscal year has increased by 3.7% quarter-on-quarter to AUD 83.2 million ($54 million). The company also reported an improved gross margin from 57.8% in the first quarter of the fiscal year to 63.9% in the third.
BetMakers’ report highlighted a reduced annualized cost base from AUD 65.3% for FY 2024 to AUD 53.9 million ($35 million) for Q3 FY 2025.
Finally, the company said that it delivered positive AUD 3 million ($2 million) in operating cash flow and AUD 1.2 million ($780K) in adjusted EBITDA for Q3.