IGaming provider Spiffbet struck a deal to acquire Goliath Holding, the parent company of the online casino brand Goliath Casino. Under the agreement, which remains subject to approval, Goliath will become a wholly owned subsidiary of Spiffbet
Spiffbet will offer Goliath shareholders the opportunity to exchange their shares for newly issued shares of the company. Up to 6,632,331 Spiffbet shares will be issued at a price of SEK 0.401 each, representing 3.8% of all company shares.
In addition, Spiffbet plans to make a private placement with a group of selected investors, including shareholders of Goliath, in order to partially finance the acquisition.
Goliath’s board of directors recommended that the deal be completed. But the acquisition also requires 90% shareholder approval. About 84% of the operator’s shareholders have already indicated that they will support the business.
Spiffbet expects Goliath to make a positive contribution in the second half
As such, the supplier plans to secure approval to complete the deal before the end of the month, with the expectation that the online casino will make a positive contribution during the second half.
“The acquisition of Goliath strengthens our position in the online casino and is an important part of our acquisition plan. Through the transaction, Spiffbet gains access to a new brand that is internationally viable and that we can expand into new markets,” said the executive Head of Spiffbet, Henrik Svensson.
Svensson added that the new acquisition will complement his merger with Metal Casino, details of which were released in March.
“In addition, the benefits of coordination with Metal Casino are clear. Goliath fits well into our business and complements our presence in the market with a different profile in other markets.”
Goliath, whose main target is players with higher spending, has so far 25,000 depositing customers. Net gaming revenue was SEK 15.0 million last year.
The president of Goliath, Claes Wenthzel, pointed out that “with the acquisition, Goliath had a new start and can, through Spiffbet, continue to develop and be part of a larger group of companies where other brands are included”.
Wenthzel concluded: “Spiffbet has strong support from its owners to be the benchmark in the expansion that is taking place in the gaming industry. And, I look forward to being part of that journey.”
