Playtech Invests Further in NorthStar Gaming to Boost Player Acquisition Push

NorthStar Gaming, a subsidiary of NorthStar Ontario, has extended its partnership with Playtech Software Limited, originally signed on June 23, 2023, which will now see the latter party strengthen its marketing agreement with the Canadian iGaming and sports betting operator.

NorthStar and Playtech Software Ltd Thicken Ties Again

Under the terms of the agreement, Playtech will contribute CA$3 million in short-term financing to NorthStar Gaming, helping it further expand its positions in the regulated gambling market locally. This partnership is mutually beneficial as the fresh capital offered by Playtech is helping NorthStar Gaming to pursue a more aggressive player-acquisition push.

Playtech contributed CA$4 million under the terms of the previous agreement, and the renewed partnership attests to the significance of the collaboration and how it has helped both companies boost their operational results. Playtech is benefiting from a revenue-sharing agreement that is based on any capital that was used to bring in new players for NorthStar Ontario.

Meanwhile, NorthStar Ontario has been happy to see its brand thrive and grow across both sports betting and online casinos. The current funding allocated for marketing will reach up to CA$4 million as well, which will be used through October 31, 2024. Yet, the strategic alignment between the two companies does not end there, as the companies are also working on other initiatives.

Welcoming the Chance to Continue Working Together

For one, NorthStar Ontario has issued CA$3 million unsecured, interest-bearing promissory notes as of April 25, 2024, to Playtech. In the meantime, NorthStar CEO and Chair Michael Moskowitz has welcomed the opportunity to strengthen his company’s ties once again with Playtech as it seeks to expand and become the leading gambling tech company.

“Their ongoing support has been instrumental in helping us to acquire new customers, provide a premium online gaming experience, and fund the expansion of our brand in Ontario and across Canada,” Moskowitz explained.

The collaboration has given NorthStar Gaming access to Playtech’s full tech stack which is a considerable opportunity to boost the company’s standing, and platforms, and even pursue growth beyond Ontario, as Playtech and NorthStar align their strategic goals together.

The additional money for NorthStar Gaming comes at a time of strong financial performance for Playtech. The company previously revealed strong results for 2023, although it has recently hit a financial snag over the refusal of a major client to pay for services rendered.