EEG enters Swedish betting market with Bethard acquisition
Esports Entertainment Group (EEG) announced the acquisition of B2C sports betting and online casino operator Bethard from its parent company Gameday Group.
The transaction includes a €16 million (~£13.6 million) cash payment and a 12 percent net gaming revenue share for two years. Per a release, Berthard generated $31 million (~£22.4 million) in revenue in 2020.
The acquisition of Bethard (operated by Bethard Group Limited) has opened the door to betting markets in both Spain and Sweden. As a result of the transaction, Esports Entertainment Group raised its fiscal 2022 revenue guidance from $100 million (~£72.3 million) to $105 million (~£75.9 million).
Grant Johnson, CEO of Esports Entertainment Group commented: “This is another great addition for Esports Entertainment Group that substantially increases our revenue and available markets. We will gain two new gaming licenses from this transaction, including one in the strategically important Swedish market. With these additions, we’ll have a total of 6 tier one licenses globally.”
This has been a busy year for EEG. The global entertainment and gambling company has expanded its geographic and demographic reach. Early this month, EEG became the esports partner of the Hall of Fame Village, in June, the marketing partner of the New York Rangers and in March, became the official esports tournament provider of the Denver Broncos.
The lines between betting for traditional sports and competitive video games continue to blur, as professional groups seek to reach the young betting demographic. Sweden is a lucrative new betting market for EEG, valued at SEK 24,7 billion (£2 billion) in 2020, per the Swedish Gambling Commission (SPER).
Spain, meanwhile, generated €850.7 million (£726 million) in gross online gambling last year, per BtoBet. While this number seems tiny compared to Sweden, it represents an increase of 13.7 percent YoY.
Esports Insider says: As online gambling increased during pandemic lockdowns, governments and bookmakers alike have expanded rapidly to meet demand and create new opportunities. According to Market Insights, the global esports betting market was valued at $12.6 billion (~£9.11 billion) in 2020 and is projected to reach $20.7 (~£14.9 billion) billion by 2027.