The Bragg Gaming Group has announced the completion of its online media division’s strategic analysis as well as the signing of a GiveMeSport distribution agreement.
Beginning a binding share purchase agreement with SN&CK Media Limited, completion of the deal is subject to customary closing conditions being met and is expected to be completed by early May 2020.
Bragg will obtain a gross payment of up to £400,000 for selling its online media business according to that agreement. The fee for the media division is an upfront cash payment of £50,000 upon completion, in addition to 10 percent of the media division’s gross revenues for a period of 21 months following completion.
In August 2019 the company initially announced a strategic review of their online media business, with the eventual sale coming after an eight-month evaluation period, unanimously accepted by all of the group’s directors.
Bragg Gaming CEO Dominic Mansour has explained: “The completion of the strategic review process and the execution of the Agreement for the sale of Bragg’s online media division to SML will allow us to focus our efforts and resources on Oryx, our B2B business, which is growing at an exponential rate.
“Given the current environment and the significant jump in virtual and digital activities, we have seen demand for Oryx’s online gaming and gambling services increase over the past few months. We have made significant strides over the past year in enhancing our platform and building this asset, and we will now be able to further streamline our activities and reduce our cash burn.”
SML, founded in 2007 and headquartered in London, is an independent digital media sports company that specialises in multi-channel content production, delivered on a scale, through data-driven engagement strategy.
SML CEO Niall Coen commented: “This acquisition is highly synergistic and brings our audience size to the next level. With this acquisition, SML will become one of the largest sports media web platforms in the UK and largest globally on Facebook.
“Both Bragg and SML have long-standing relationships with quality partners that we will be able to mutually leverage in order to grow at an exponential pace. We are excited about combining the two businesses and expanding our platform to take advantage of its 25 million Facebook followers and the great work done by the GMS team.”
Bragg Gaming Group Announces Completion of Strategic Review and Sale of GiveMeSport https://t.co/bEfzZmG4EQ
— Bragg Gaming (@Bragg_Gaming) May 1, 2020