Catena Media Acquires German Sportsbook Baybets in €26.5 Million Deal
A Malta-based gaming company, Catena Media, is making a significant play in the sports wagering arena by purchasing Baybets Ltd., a German sportsbook, for a substantial €26.5 million.
The agreement consists of an initial payment of €13.25 million in cash and an equivalent amount in newly minted Catena Media stock. However, there’s more! Contingent on Baybets’ performance over the subsequent two years, Catena Media might disburse an extra €6.5 million, potentially elevating the total sum to a considerable €33 million.
What is Catena Media receiving in return for its investment? Baybets is no minor player, generating an estimated €22.5 million in quarterly revenue with a healthy 70% profit margin. This acquisition is poised to bolster Catena’s current sports betting segment, with all 23 Baybets staff members joining the ranks.
Henrik Persson Ekdahl, Catena Media’s interim CEO, is evidently enthusiastic about the transaction, referring to it as their most substantial acquisition to date and a crucial stride towards becoming a leading power in the sports wagering sector. With the Winter Olympics and the FIFA World Cup approaching in 2018, the timing couldn’t be more opportune for Catena Media to intensify its sports betting aspirations.
A German sports betting partner, Baybets, has been purchased by Catena Media. The company manages more than 50 webpages, with major sites like sportwetten.org and sportwette.net, concentrating on the German-speaking (DACH) area.
Baybets CEO, Jan Steffen, thanked the staff for their role in the company’s achievements and conveyed his excitement about the merger, saying, “We anticipate a lasting collaboration with Catena Media, enabling us to grow further operationally and as investors. We are thrilled about the possibilities this presents.”
