April 1, 2022 3 min read


GiG to Close Acquisition of Sportnco for €51.37m

Gaming Innovation Group (GiG) announced today the Board of Directors issued a resolution to complete the €51.37 million ($56.5 million) acquisition of Sportnco after the company obtained the required approvals from all relevant authorities.

Increase Short-Term and Long-Term TAM

The acquisition of Sportnco which was initially announced in December last year is expected to strengthen GiG’s position in both platform and sports segments of the online casino industry, opening up multiple opportunities to expand its portfolio “driving toward a profitable and cash generating business segment.”

Commenting on the announcement, GiG chief executive officer Richard Brown hailed “the next chapter in GiG’s history” and welcomed Sportnco and SkyCity owners as new shareholders at GiG, as well as the Sportnco staff as part of the organization moving forward with the “post-merger integration plan.”

“The team at Sportnco have built a tremendous business, one that is highly complementary to GIG’s offering both in product but also addressable market increase, and now the work begins to realize the truly existing growth opportunities that the business combination can pursue.”

Richard Brown, CEO, GiG

With operations in the B2B vertical in France and Spain, presence in other European jurisdictions like Belgium, Portugal and Greece, as well as several high-growth markets in Latin America, and positioned to enter some of the most lucrative US states, Sportnco’s geographical presence is “highly complementary to GiG’s current offering”.

The combined entity will hold licenses in 25 markets with around 55 clients and the acquisition allows GiG to increase its short-term and long-term total addressable market (TAM) and leverage Spotnco’s strong sportsbook product to create synergies across marketing, sales, operations, and technology, as well as achieve cost savings and accelerated growth.

“Together with all the teams and shareholders who have built the success of Sportnco and Tecnalis, we are extremely proud of the journey we have accomplished since 2008, and of our integration today into the GIG group.”

Hervé Schlosser, CEO and Founder, Sportnco

“I look forward to opening this new chapter as I am confident that, together, we will offer stronger technology solutions for our customers in the fast-growing regulated markets,” Schlosser concluded.

The combined operations of GiG and Sportnco are expected to generate revenues of between €87 million ($95.7 million) and €93 million ($102.3 million) and EBITDA of €30million ($33 million) to €35 million ($38.5 million) for the full 2022.

Further Acquisition Details

To finance the transaction, GiG issues a total of 26,110,900 new shares: 12,623,400 to the shareholders of Sportnco valued at NOK18.08 per share, and 13,487,500 as a directed share issue to SkyCity shareholders valued at NOK18.00 per share.

SkyCity will hold 10.98% in GiG and shares issued to Sportnco are subject to a 6-month lock-up period. Sportnco will retain €18.63 million ($20.5 million) of its existing long-term loans.

A two-year performance-based earn-out with up to €11.5 million ($12.65 million) per year will be available to Sportnco shareholders, while its employees will be entered into a 3-year option program to reward continued employment with shares in GiG up to a total aggregate value of €4 million ($4.4 million).

Lead Author

With 4 years experience as an analyst, Julie—or ‘Jewels’, as we aptly refer to her in the office—is nothing short of a marvel-worthy in her attention to the forex and cryptocurrency space as she quickly became the first pick to co-pilot education to the masses with Mike.

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