Catena Media, a global iGaming leader, has decided to fortify their North American operations. They purchased online casino and sports betting affiliation assets from i15 Media for $45 million in total. With the business already expanding, this acquisition will certainly empower it even more.
The assets in question include over 100 domains and websites, especially targeting the states beginning their first American football campaign. NYSportsday.com and Michigansharp.com are among them, as well as famous, nationally ranked sites like gamblingonline.com and bonus.com.
Stable Business Growth
The purchase price consists of $12.5 million paid in cash upon closing, with a further 20 million coming in three installments. The first $5m will be paid in shares or cash on December 15, 2021. Another $5m in cash will come their way in June 2022. The last $10m in cash are to arrive in December 2022.
The remainder of $12,5m will be provided in the form of 2,207,357 Catena Media shares when possible shortly after closing.
The officials expect this acquisition to have a beneficial effect on Catena Media’s overall financial performance. They anticipate at least a 70-percent EBITDA margin from the purchased assets on average.
The assets accumulated a combined income of roughly $8 million in the twelve months until July 31, 2021. Two-thirds of this amount was generated in the first three months of the current year. The rise overlapped with the peak of the sports season in North America, so as the opening of both Michigan and Virginia.
The company’s North American business generated 49% of the total group income in the first half of 2021. With the stable growth of 121% during that period, it is logical Catena Media wants to conquer this market further. The regulation processes have started in multiple states, including Connecticut, Maryland, Louisiana and Arizona.
Catena Media to Affirm Leadership in the United States
CEO of Catena Media, Michael Daly, couldn’t conceal his exhilaration over this deal. He stated that acquiring i15 Media’s assets and including them in the company’s portfolio was a great move. He noted their online casino and sports betting offer would undoubtedly speed up the business development in North America.
Daly added that i15 Media already had powerful national and state brands accumulating significant revenues in existing markets. He expressed conviction that the inclusion of the upcoming states in the network will assert CM’s leadership in the US.
He also shared his excitement that i15 Media’s owner and founder was to join Catena Media. Serving as a consultant in the following years, he will offer precious support as they look to achieve their long-term goals.
The deal went through after Catena had reported a 1,421.4% growth in net profit during the first half of the year. Their return to a classic sports calendar significantly increased the revenue during this period.
Catena Media previously acquired Lineups.com for nearly $40 million and extended a deal with SportsDataIO for another decade. Powering its lead-generation tools has proved a great success so far.