Betsson Group Strengthens Sportsbook with Sporting Solutions Acquisition
Betsson Group has announced a deal to acquire Sporting Solutions’ trading, pricing, and sports betting risk-management services from FDJ Group. This strategic move will see Betsson integrating Sporting Solutions’ advanced pricing feeds for both pre-match and live betting into its sportsbook operations, enhancing both its B2C and B2B offerings.
Background of Sporting Solutions
Founded in 2007, Sporting Solutions operates primarily in the UK but also has a presence in Canada and South Africa.
The company collaborates with several major operators and lotteries, including 888Sport, Ladbrokes Coral, SkyBet, William Hill, and Norsk Tipping.
Betsson has been a partner of Sporting Solutions for over a decade. The acquisition, pending regulatory approval and other conditions, is expected to finalize soon.
Financial details of the deal have not been disclosed.
Strategic Importance for Betsson
This acquisition marks Betsson’s second B2B purchase in 2024, following the acquisition of Dutch games studio Holland Power Gaming in February for €27.5 million.
During Betsson’s Q2 earnings call, CFO Martin Öhman emphasized the company’s focus on mergers and acquisitions as a growth strategy.
He stated, “We are in a growth phase. We like M&A, and if you find good M&A opportunities, that’s kind of the first priority.”
Jesper Svensson, CEO of Betsson operations, highlighted the acquisition as a “strategic fit,” aiming to enhance revenue streams and business opportunities.
“We are excited to welcome the Sporting Solutions team to Betsson Group. This acquisition is a strategic fit, providing us with quality technology that is already integrated into our sportsbook product,” Svensson said.
He emphasized that the acquisition would strengthen the flexibility and scalability of Betsson’s Sportsbook offering, key factors for their B2B strategy.
FDJ Group’s Strategic Refocus
FDJ Group has also been strategically refocusing its international activities, covering both B2C and B2B2C operations across lottery, sports betting, and online gaming markets.
In their statement, FDJ clarified that the sale to Betsson includes the platform’s price setting and risk management activities but excludes FDJ’s sports betting managed services for lottery operators.
Financial Performance and M&A Activity
The acquisition follows positive financial results from both Betsson and FDJ. Betsson reported a 25.4% year-on-year increase in active players, boosting revenue, net profit, and EBITDA.
Sportsbook activity revenue in Q2 rose 12.8% to €78.4 million, counterbalancing weaker segments such as poker and bingo, which saw a 13.0% decline.
FDJ’s group revenue for the first half of the year increased by 10.8% to €1.43 billion. Sports betting and online poker revenue rose 14.5% to €294 million, despite the Euro 2024 football tournament underperforming in the latter part of the period.
Additionally, FDJ’s recent acquisitions of Premier Lotteries Ireland (PLI) and Zeturf last year contributed to a 39.8% increase in digital revenue in H1.
