Entertain Acquires Avid Gaming For 300 Million Canadian Dollars

Entain, one of the world’s largest sports betting and gaming groups, has decided to make a decisive step into the Canadian market by acquiring sports betting operator Avid Gaming from Middlebrook Investments Limited.

Entain recently applied for an iGaming license in Ontario, the first Canadian province that will allow private operators to compete on the sports betting and gambling market. The purchase of Avid Gaming will cost Entain 300 million Canadian dollars.

Avid Gaming owns and operates the Canadian online sports betting brand Sports Interaction, which is leased exclusively to the Mohawk Council of Kahnawà:ke and the Mohawk Online socioeconomic initiative. Sports Interaction operates through Mohawk Online in Canada, but it also has offices in Ireland and headquarters in Jersey.

The operation was committed to supporting the community of the Mohawks of Kahnawà:ke, providing funding for cultural activities, schools, healthcare and other public services. Moreover, half of the company’s employees in the province are native Mohawks.

Entain immediately announced that it will continue to support the local community while attempting to expand the business even further. Avid Gaming did manage to grow rapidly in recent years, recording a gross revenue increase of 40 percent in 2021, to 76 million Canadian dollars. Moreover, the company’s earnings reached 18 million Canadian dollars and the pre-tax profit was 17.4 million Canadian dollars.

The deal is designed to strengthen Entain’s presence in Canada, adding Sports Interaction to the company’s two powerful brands in this market: Bwin and Party. Entain also announced that it will keep most of the leadership team that led Avid Gaming over the past few years, including Will Golby, the Chief Executive Officer.

Jette Nygaard-Andersen, the Chief Executive Officer of Entain, described Sports Interaction as “the leading Canadian sports betting and gaming brand” and added that it is aligned with their target of “ambitious growth.” The resulting combination is expected to deliver approximately 15 million Canadian dollars in synergies for Entain in 2023, through sharing technology, content and procurement efforts.

The gaming market in the province of Ontario is set to open to private operators from April 4, 2022. Several operators have already applied for a license, and until now it was obtained by famous brands such as TheScore, PointsBet and Rivalry.

Source: “Entain strikes CAD$300m deal for Sports Interaction owner Avid Gaming“. iGaming Business. February 7, 2022.