Sportech agrees to sell the Bump company for $10M
It was announced by Sportech that it had reached a deal to sell its Bump 50:50 brand to the security printing business Canadian Banknote for the amount of CA$10 million, which is equivalent to US$7.8 million. It is anticipated that the conditional agreement will be finalized during the second quarter of this year and will contain a CA$2 million earn out that is tied to 2022 performance.
The sports betting technology provider has stated that the net revenues would assist in the creation of further investment resources for its sports betting objectives in Connecticut as well as its retail gaming company.
Its Bump brand provides clients, such as foundations linked with sports teams and leagues in the United States, with technology and services that let them deliver digital raffle fundraising programs in stadiums as well as online. Their clients include digital raffle fundraising programs.
Canadian Banknote is an operator in the lottery and charitable gaming industry, and some of their clients include the Toronto Maple Leafs and the Ottawa Senators.
"We are immensely proud of the progress the Bump management team have achieved over the past few years," said Richard McGuire, CEO of Sportech. "We believe the acquisition by CBN will provide additional opportunities and a broader product suite ultimately leading to further innovation, which will benefit all clients within the charitable gaming space."
The President and Chief Financial Officer of Canadian Banknote Lottery Systems, Craig Bascombe, stated that "the acquisition of Bump 50:50 is highly important for CBN." Because the organizational cultures are so strikingly similar, we are certain that the transition will be completely painless for the consumers of both companies. We are eager to get this transaction over with as quickly as humanly feasible.
It was revealed in December that Sportech has reached an agreement with BetMakers to sell its worldwide tote and digital company for a price of AU$56.2 million (US$42.9 million).
