Australian provider of online wagering products TBH is to sell its TopBetta and Mad Bookie assets to PlayUp, an Australia-based fantasy sports company, for AU$6m.
The company has agreed to sell 100 per cent of its shares in the brands to PlayUp but will retain 20 per cent of the retail revenue from them as part of the software and services agreements. It may also receive up to 20 per cent of the revenue from PlayUp’s current and future wagering revenues.
TBH CEO, Todd Buckingham, said: “This deal is a significant step for the company. Not only does the $6m sale of the retail assets provide significant funding for TBH, but the ongoing services agreement and revenue share greatly reduces our cash burn while allowing us to focus on developing the existing wholesale and Global Tote business.”
“We have developed a full suite of wholesale wagering products that we can deliver to operators around the world. Now, with the more focussed business model on delivering new and innovative products to wagering operators, we believe we will be the wholesale provider of choice for operators when they consider their wagering platforms, odds and risk management systems and customer facing software.”
PlayUp has also committed to issue TBH with 800 million PlayChips, a cryptocurrency built on the Ethereum blockchain, if and when it develops and launches a cryptocurrency tote product.
