Betsson targets player account management with $6.5m Strive Platform acquisition
Stockholm-headquartered operator to integrate US sportsbook in Colorado launch
Betsson Group has agreed a $6.5m (£4.6m) deal to acquire a 35% stake in Strive Platform Limited as the firm readies its US debut in the state of Colorado.
Under the terms of the deal, Betsson has the option to increase its shareholding in Strive once Betsson launches in the US, scheduled for H2 2021.
The firm will be able to purchase an additional 5% stake for $1m, with Betsson agreeing to provide a convertible loan facility to Strive totalling $2.5m.
Betsson first signed an agreement with Strive parent company TG Lab UAB in Q4 2020 under which Betsson can utilise the company’s new, purpose-built Player Account Management system (PAM) to support Betsson’s launch in the US market.
With this deal, Betsson’s sportsbook becomes the first to be integrated with the Strive PAM platform.
In January 2020, Betsson inked a 10-year market access deal with the Dostal Alley Casino, which operates in Central City, Colorado.
As part of the expansion into the US market, Betsson has said it will open a small office in Colorado but has not given details of expected staffing levels. It is also understood the firm will operate under the Dostal Alley Casino licence.
The Stockholm-headquartered operator has also said it will look to engage in B2B proprietary sportsbook deals with US operators in the future once its US operations develop.
“This investment is another important milestone in our US entry,” Betsson AB CEO Pontus Lindwall said.
“The investment will support our B2C launch with the Betsafe brand in Colorado as well as broaden Betsson’s offering to the US market.
“The US market has a limited number of PAMs and sportsbooks that are truly set up for the multi-state regulatory environment and scale.
“This investment brings together two high quality independent igaming technologies for the US market,” Lindwall added.