Betway is set to become the industry’s next listed US property, as its owner Super Group outlined its intentions to merge with an SPAC vehicle to secure a footpath to listing on the New York Stock Exchange (NYSE).
This Sunday, Guernsey-based Super Group confirmed that it had ‘entered a definitive agreement’ to combine its business with blank-cheque SPAC – Sports Entertainment Acquisition Corp (SEAC).
Founded by former NFL VP Eric Grubman and partner John P Collins, the former operations lead of the NHL, SEAC executed its NYSE IPO offering last October securing $450 million in capital to target acquiring new US wagering ventures.
SEAC plans to lead Super Group’s NYSE listing targeting a valuation of $4.75 billion, excluding its existing deal capital, with the new venture majority-owned by Super Group’s existing shareholders (88%).
The SPAC underscored Super Group’s proven growth credentials as a global wagering business which “delivered $1.1 billion in net gaming revenue (NGR) and $259 million EBITDA in 2020 on a pro-forma basis and forecasts”.
“Super Group is an online gaming and betting powerhouse with a track record of global growth and a strong balance sheet. Super Group’s core DNA is rooted in digital technology, which drives its unparalleled expertise in data and analytics,” read Eric Grubman’s statement.
Bolstering its US growth ambitions, Super Group further disclosed that it had agreed on definitive terms to acquire Digital Gaming Corporation (DGC) – the US licensing partner of Betway.
This March, Betway announced that it had secured its first US wagering partnerships through DGC, having obtained franchise agreements with six NBA teams and two NHL teams.
Privately owned Super Group lists Betway and multi-brand casino operator Spin as its online gambling assets, which operate within “23 jurisdictions throughout Europe, the Americas and Africa, took in more than $42 billion in wagers in the 12 months to March 2021, maintaining 2.5 million monthly unique active customers”.
The Betway brand was founded in 2006 as the flagship sportsbook venture of igaming group Win Technologies, who would develop Betway proprietary sportsbook systems. Betway’s growth would see its employ over 3,000 staff, becoming the lead business entity of Win Technologies in 2018.
Super Group CEO Neal Menashe backed the firm’s NYSE ambitions by stating that the company had achieved its founding objectives of establishing Betway as a profitable online gambling business that can match global growth scale demands trading across all continents.
“Becoming a public company will give us the tools to continue to grow our leading product and technology offering and deliver a strengthened brand-driven marketing strategy,” Menashe commented.
“This listing will position us strongly to capitalize on the significant global growth opportunities ahead ‒ including in the U.S. market ‒ enabling us to further expand our robust, loyal and engaged customer base. In Eric and John, we have found the perfect partners with expertise across sports, entertainment and public markets to help us navigate our next phase of growth.”
The firm’s new identity will trade under the symbol “SGHC” on the NYSE. Super Group will host a conference call on Monday 26 April 8.30 EST, updating investors and stakeholders on deal objectives and further developments.