Gambling.com Group has announced the acquisition of Roto Sports, Inc. in what is a major coup for the leading providers of player acquisition services for the regulated global online gambling industry.
The purchase was announced this week by the Group for a price of €27.5million over a two-year period - approximately four times Roto Sports estimated 2021 revenue. It represents a major move in Gambling.com Group's U.S. presence, with RotoWire.com bringing with it more than 100,000 paid subscriptions and 17 million unique web visitors in the last 12 months.
RotoWire.com, one of the industry leaders in fantasy sports news and tips, will join the likes of CasinoSource, Bookies.com and Bookmakers.co.uk as part of the Group's brands. As well as an impressive audience, RotoWire.com carrier with it a talented workforce and authority with U.S. sports fans that the Gambling.com Group will look to leverage in the coming years.
Charles Gillespie, Chief Executive Officer of Gambling.com Group, was bullish about the move, saying: "Over the past 25 years, Peter and the RotoWire team have produced some of the best fantasy sports content in America and have in turn embedded their business into the heart of the American sports experience.
"Commercially, the RotoWire business has three different revenue streams, each generating over $1 million per year, which give it significant reach into sports media organizations as well as with advertisers and individual sports fans. These deep and long-lasting customer relationships are an ideal platform from which to capitalize on the new era of American sports – the betting and gaming era."
The Group will pay $20.0 million at closing, consisting of $15.0 million in cash and $5.0 million in newly issued, unregistered ordinary shares, valued on a volume weighted average price over the preceding 10 trading days.
Peter Schoenke, President of RotoWire and past-Chairman of the Fantasy Sports & Gaming Association, added, “The United States is entering a whole new world of sports fandom and combining forces with Gambling.com Group will accelerate RotoWire’s growth. Gambling.com Group’s resources and experience will help RotoWire rapidly advance its sports betting offerings to take full advantage of this new era."
The news is the latest in a string of positive stories for the Group who were recently crowned the Affiliate Of The Year at the EGR awards.