Sports betting affiliate media group, Better Collective, has completed the acquisition of American sports media company Playmaker HQ for a total of $54 million. The deal includes an upfront cash payment of $15 million, $1 million in deferred payments, and potential earnout payments of up to $38 million over three years based on Playmaker HQ’s performance metrics. This strategic move is aimed at strengthening Better Collective’s foothold in the US sports media market and enhancing the sports betting experience for millions of fans.
Acquisition Details:
Better Collective’s acquisition of Playmaker HQ involves a structured payment plan:
Upfront Cash: $15 million
Deferred Payments: $1 million
Earnout Payments: Up to $38 million over three years, contingent on Playmaker HQ’s performance metrics, including generating over $75 million in accumulating revenues and $25 million in earnings before interest, tax, depreciation, and amortization (EBITDA) during the first three years post-acquisition.
Strategic Vision:
Better Collective North America CEO Marc Pedersen expressed enthusiasm about the acquisition, highlighting Playmaker HQ’s access to millions of sports fans, particularly those new to Better Collective’s user base. The goal is to leverage Playmaker HQ’s expertise in creating engaging sports content and experiences, enhancing the sports betting journey for a wider audience. Pedersen emphasized the potential for scaling the product and revenue stream across Better Collective’s global portfolio.
Playmaker HQ CEO Brandon Harris shared the excitement of joining forces with Better Collective, emphasizing the significant milestone for Playmaker HQ. The collaboration aims to bring together Better Collective’s resources and Playmaker HQ’s content creators to create compelling sports media experiences and opportunities for a global audience of sports fans.
Market Expansion and Partnerships:
Better Collective’s strategic moves extend beyond acquisitions. In March, the company announced plans to launch its sports media brands in the US state of Massachusetts. The entry into Massachusetts aligns with the company’s commitment to safer gaming, player education, and consumer protection, in collaboration with the Massachusetts Gaming Committee (MGC).
Last year, Better Collective entered into a commercial partnership with regional news website Boston.com, providing sports betting content for the website’s sports news portal. The collaboration included delivering betting odds, tips, analysis, and direct links to sports betting platforms, reinforcing Better Collective’s presence in the US market.
Better Collective’s acquisition of Playmaker HQ marks a significant step toward solidifying its position in the competitive US sports media landscape. The strategic vision of combining expertise, resources, and audience reach is poised to create synergies that benefit both companies and contribute to the growth of the global sports media group. As Better Collective continues to expand its footprint and enhance the sports betting experience, the acquisition sets the stage for exciting developments in the evolving sports entertainment industry.