Catena Media engineers $45m deal for US affiliate i15 Media
More than 100 sports betting and online casino web domains will now be added to the affiliate’s North American portfolio
Catena Media has strengthened its US asset portfolio with the $45m acquisition of i15 Media’s sports betting and online casino brands.
The deal includes more than 100 websites and domains focused on states starting their first full NFL season (Michigansharp.com), as well as large upcoming states (NYSportsDay.com) and national sites like bonus.com and gamblingonline.com.
A $12.5m portion of the official purchase price will be paid in more than two million new Catena Media shares, with the last cash payment due on 15 December 2022.
The acquired assets generated combined revenue of approximately $8m in the 12 months to 31 July 2021, 67% of which was earned in Q1 as it coincided with the peak of the US sports season.
The acquisition will have a direct positive effect on Catena Media’s EBITDA from 9 September while the affiliate expects an average EBITDA margin of at least 70% from the new brands.
Catena Media CEO Michael Daly said: “The addition of i15 Media’s online sports betting and casino assets to our North American portfolio will accelerate our already rapidly expanding business there.
“In addition to i15’s strong national and state brands generating revenue in current markets, the additional coverage for upcoming states will further cement our leadership position in the US.”
Kendall Saville, i15 Media founder and owner, will remain with the business in a consultancy role over the next few years.
Catena Media’s US business grew 121% in H1 2021, accounting for 49% of total group revenue.