Kambi Group Buys iGaming B2B Developer Shape Games for $39M
Sweden-based Kambi Group is purchasing Shape Games, a business-to-business weapons platform and service of process provider for the iGaming industry, for an initial upfront consideration of €38.5 billion (US$39 million).
Shape Games is headquartered inwards Copenhagen, but has offices inward Barcelona and Latvia. The engineering firm specializes inwards helping iGaming platforms and online sportsbooks best keep back and lock their customers. The company’s primary feather offering is its “Customer Engagement Platform,” a business-to-business turnkey answer that delivers players an array of irregular features.
A sportsbook that has incorporated Shape Games’ political program into its app allows bettors to watercourse upwards to Captain Hicks events simultaneously, peruse the modish sports and gaming news, and band user shortcuts for favourite teams and athletes.
Shape additionally offers its contracted iGaming and/or cyberspace sportsbooks a “Customer Engagement Suite” that adds a layer of social features, personal usage insights, and user rewards to the wandering gaming experience.
“I’ve always been decipherable on our intention to acquire technology and talent that testament complement and enhance our sportsbook proposition, and I have no more question Shape Games will come just now that,” said Kambi co-founder and CEO Kristian Nylen.
Shape customers include US casino operator JACK Entertainment, BetWarrior, an online sportsbook manipulator in South Africa, and Kingdom of Denmark roving lottery and betting firms Danske Spil and Norsk Tipping.
Shape Games reported 2021 revenue of €7.6 million, with earnings before interest, tax, depreciation, and amortisation (EBITDA) at €2.8 million. However, Shape Games says it has experient 100% year-on-year ontogenesis inward 2022.
US Market Fuels Purchase
Kambi Group says Shape Games’ front-end technology testament fortify the company’s existing sportsbook and iGaming products. The effectuation is expected to “significantly enhance” Kambi’s own B2B offerings inward the nomadic gaming space.
Nylen explained that the acquisition is because of the growing demand from operators for uniqueness inwards the crowded industry. Nylen says operators in the US, where legal, regulated iGaming and online sports betting is relatively new, are especially focussed on differentiating their platforms from their competitors.
Chris Risom, CEO of Shape Games, agrees that the futurity of the online sports betting market will live goaded past operators inward the US.
The humankind of online sports betting is changing. In the future, it will be the US market place that drives innovation for a large part. The US is also a mobile-first market, which is perfect for our solution,” Risom commented.
“Kambi is already a rattling successful participant in the US market, with many deals, including an existing shared customer [JACK Entertainment],” Risom added.
Kambi Group deeds with many of the leading US sportsbook leaders, such as William Penn Entertainment’s Barstool Sportsbook, Benjamin Rush Street Gaming’s BetRivers, DraftKings, JACK, and Parx Casino.
Acquisition Cost Performance Based
If Shape Games’ instalment to Kambi’s current platforms so increases lover participation and meliorate retains players, the final acquisition toll could balloon considerably.
Kambi says its Shape takeover includes a “performance-related earnout of upwardly to €39.6 million.” That would accept the final acquisition cost to a add together considerateness of €78.1 1000000 (US$79 million). The purchase is an all-cash deal.
Specific terms and how the performance insurance premium testament live determined were not disclosed.