This week, Panatics announced it had signed a deal worth about $150 million to buy leading gaming brand PointBet. Now, shareholders of Pointbet will vote on the sale in June, and the contract still needs regulatory approval. But the company’s purchase raises questions about whether it will affect Ontario operations.
PointsBet is currently operating in Ontario with an online gaming market for third-party operators that began in spring 2022. The digital segment is the first in Canada and is overseen by the Alcohol and Gaming Commission of Ontario. It has also attracted the attention of numerous operators who have transformed it into North America’s top five game jurisdictions.
The two companies announced in a joint statement that the deal was agreed. Both sides say they are confident the deal will be completed in the coming weeks, although there are still some procedures left to finalize the deal. The parties said they would provide more information and more information about the signed contracts in the coming weeks.
But this week, Poyntsbet’s managing director and group CEO Sam Swannell was confident the company would continue its business in Canada. He said the level of cash investment needed to reach profitability in the U.S. is quite different from that in Canada. He predicted that operators could achieve profitability within 18 to 24 months without additional funding.
Mr. Swanell explained that for his first year in Ontario, the company successfully raised brand awareness and that the operator wanted to build on and continue to expand on its initial momentum. He made it clear that as part of the acquisition deal, the operator will continue to control the industry’s highly renowned technology stack and market-leading in-game betting options.
Previously, the operator reported net income of US$4 million for the third quarter of fiscal 2022. This is a 21% increase over the previous quarter. Most were generated through the online casino section with $2.4 million and $1.6 million in sports bets. During the quarter, the operator had approximately 28,000 active Canadian users.
Then, in the fourth quarter of fiscal 2022, the operator reported a slight drop in total betting handles to gross gaming revenue of US$11.1 million and US$500,000. However, the company remains optimistic about its operations in Canada. It also reported double-digit revenue growth in U.S. and Canadian activities, up 18% year over year.
However, it should also be recalled that the operator’s business in Ontario was not exactly smooth, as financial fines were imposed by the Alcohol and Gaming Commission in Ontario.
BY: 파워볼실시간
