BetMakers given the green light to acquire Sportech

BetMakers Technology Group has completed an AU$50 million placement which will support its acquisition of Sportech‘s racing and digital assets.

Sportech’s shareholders approved the acquisition yesterday, with the deal including its US, UK and European racing and digital assets valued at £30.9 million.

Through the agreement, BetMakers will make an initial payment of £6.2 million before paying the balance of £24.7m upon completion.

In a statement made by BetMakers, it said that the deal will be completed following the “satisfaction of certain customary conditions that only BetMakers can waive at its discretion, including transfer of licences.”

Back in December, BetMakers branded the acquisition as a transformative deal for its financial and global growth prospects, with the racing and digital assets to be acquired on a cash-free, debt-free basis.

The completion of its AU$50 million placement will help fund the acquisition alongside existing cash, with the placement comprising 83.3 million fully paid shares at AU$0.60 each.

In addition to the capital raises, the Australian technology group advised shareholders in Monday’s market update that it has begun negotiation for commercial terms with several operators.