Betsson commits to Canada through Slapshot investment
Betsson AB has continued its strategic expansion into new markets by disclosing that it has acquired a 28% stake in Canadian start-up Slapshot Media Inc.
The investment led by subsidiary ‘Betsson Perch AB’ will provide Slapshot Media with CAD $3 million (€2m) in enterprise funding as the wider Betsson group commits to becoming a participant within Canada’s transformed gambling marketplace.
“Slapshot Media Inc is a Canadian company that specialises in creating localised sports content and provides marketing and managed services to the online gaming market in Canada,” read Betsson’s statement. “Slapshot Media Inc will work exclusively with Betsson to build the presence of the Betsson Group in the upcoming regulation in the Canadian market.”
Upon the progress of its investment, Betsson disclosed that it will maintain first rights to scale up its shareholding in Slapshot Media – having been granted the option to increase its shareholding to 70% capped at a maximum price of CAD $25 million (€17m).
Canadian gambling is set to undertake seismic changes following June’s ascent of ‘Bill C-218 – The Safe and Regulated Sports Betting Act’ – granting Canadian provinces the rights to independently govern their own gambling laws.
As stands, Ontario is set to become the first province to introduce a licensing regime for online gambling that is expected to come into effect in 2022.
“The Canadian market represents a great opportunity for Betsson to increase the share of revenues from regulated markets. The local know-how and experience that the founders of Slapshot Media Inc possess will position Betsson well on the upcoming regulation of the Canadian market,” commented Pontus Lindwall, CEO of Betsson AB.
H1 trading saw Betsson governance commit to accelerating the firm’s new market strategy – with CEO Lindwall underlining that growth in underpenetrated markets was required to offset the market saturation of established European jurisdictions.
Source: SBC News