GAN plots $35m capital raise in upcoming IPO

Gaming platform provider GAN is expecting to raise $35m through the sale of 4.1 million shares in its upcoming IPO.

The firm will list exclusively on Nasdaq as it seeks to gain increased liquidity, access to cheaper capital, additional research coverage by US banks and enhanced reporting standards.

It expects to use the funds to scale up and take on new growth opportunities.

“The capital raise is intended to establish a broader investor base to enhance trading liquidity,” the firm wrote in a statement to shareholders.

“We expect a US listing to generate market information and public relations opportunities that will enhance our reputation and create operational opportunities in the US,” the statement read.

Shareholders will be able to convert one UK share for a 0.25 share of the newly listed company.

It is currently listed on London’s AIM exchange under the ticker GAN. B, but will use the symbol GAN on Nasdaq.

The listing should be finalized by the end of April, to be priced in the first week of May.

GAN’s US assets include various gaming licenses, a technology platform and US-patented intellectual property, along with its US clients and local expertise.

It provides its platform to FanDuel in New Jersey and West Virginia and will launch in Michigan once igaming regulations are finalized.

In H1 2019, GAN recorded EBITDA of $3.75m.