Betsson has expanded its Baltic market reach with the acquisition of the Lošimų Strateginė Grupė which operates under the TonyBet brand.
Betsson, the Nordic gambling operator has confirmed that they have acquired TonyBet Lithuania assets for an initial €4 million with a further €2 million bonus payable in 2017 based on performance of assets.
This deal is expected to strengthen Betsson multi brand European growth strategy giving them a stronger foothold in the licensed Baltic markets of Latvia, Estonia and Lithuania where TonyBet presently holds online gambling licenses for.
TonyBet who also holds licenses for Denmark and the UK was founded by Antanas Guoga aka Tony G, Businessman, Lithuanian elected member of the European Parliament and also a well known poker player. TonyBet is one of two gambling operators that is allowed to service the Lithuanian market. They also operate 20 betting shops along with a licensed website providing poker, sportsbook and online casino there. According to Betsson, Tonybet in the first half of 2016 generated a revenue of €3 million with adjusted earnings of €550k.
CEO and President of Betsson AB Ulrik Bengtsson stated: “We see strong synergies in this acquisition, through migration of the operator to Betsson’s technical platform, and development of the casino offering.”
He went on to say: “This acquisition is a good strategic fit for Betsson Group as Betsson’s ambition is to increase revenue from locally regulated markets. We have now consolidated our presence in the Baltic region by ensuring local licenses in all three markets, and continue to pursue growth across Europe, organically and through acquisition”