Rakatech PLC expands in the US with ATS Consultants
Raketech Plc will be obtaining the assets of ATS Consultants, a US sports tipset organization, for $15.5m (€13.5m).
The purchasing of the tipster communities Winnersandwhiners.com, Statsalt.com, and Pickpapa.com, will intensify Raketech’s North American media portfolio. To settle its newest US purchase, a $12 million cash transaction will be paid upfront by Raketech, as well as a $1 million settlement dispersed over half a year after the agreement is closed.
The rest of the funds will be paid in the figure of $2.5 million in new Raketech shares, with subsequent earnout payments depending on performance signs three years after the agreement settles. The investment is valued at ATS 6x EBITDA and 2.5x revenue for the last year.
Consequently, the affiliate company forecast that the company’s North American results will value up to 20% of the group’s total until Q1 of 2022. The company also emphasizes the weight of the recent move, claiming that it will profit from adding 20 extra staff, who’ll cover US Sports from the ATS headquarters in Baltimore, Maryland.
Oskar Mühlbach, Raketech CEO, said how this market in particular is important to them, since it is likely to develop significantly in the coming years. He added:
“And I feel that combining Raketech’s commercial and operational capabilities with the acquired assets is an excellent approach to capitalize on this potential. I’m also thrilled to have the excellent ATS members on board, and I’m looking forward to integrating our business approaches and sharing technological knowledge.”
Following the addition of Picksandparlays.net — the flagship website of P&P Vegas – earlier this summer, Raketech has expanded its North American sports offering. The procedure will be performed until December 15, 2021, and will be funded by Raketech’s current credit department, which Finnish investment bank Avida Finans promises.