PointsBet finalizes Banach Technology takeover worth $43m
In March, PointsBet agreed to the agreement via its Lockspell Limited Irish subsidiary in order to buy Banach for $43 million on a debt-free basis. 55% of this amount was supposed to be paid in cash with the rest of it in shares.
PointsBet has stated that the partnership will reinforce its standing in the United States market as well as speeding up its technology roadmap, which will allow it to make good use of the growth in US sports betting activity. Aside from that, PointsBet has claimed that through the use of Banach’s risk management algorithms, it will be able to provide much higher value to its clients.
Sam Swanell, managing director and group chief executive of PointsBet, commented on the acquisition saying:
“We are delighted to welcome Banach into the PointsBet family and look forward to working together to deliver our full potential for the benefit of PointsBet shareholders and all of our stakeholders.”
Mark Hughes, chief executive of Banach, also noted:
“The compatibility of our two businesses presents an excellent opportunity to achieve great success together, and we cannot wait to start delivering an industry-leading experience to the PointsBet customer.”
The initial deal was agreed upon last month and mentioned that Banach’s quartet of founders, who all used to work at Paddy Power, will be assuming new positions within PointsBet after the acquisition is completed. Hughes became chief operating officer and Alex Zevenbergen will become vice president of engineering for the platform. Hadrien Lepretre will be vice president of quantitative analytics and lastly, Rob Reck is now the product and technology advisor.