Australia-based sports betting company PointsBet has acquired business-to-business software company Banach Technology for an amount of $43 million.
PointsBet will pay 55% cash for the company, issue 1.75 million shares and pay $4 million in order to assist in converting the two firms.
Johny Aitken, Chief Executive Officer of PointsBet, commented in a recent interview with CNBC that multiple benefits will be unlocked by this transaction ‘including PointsBets’ enhancing in-play offerings.
He went on to say that the trend in this industry, especially in the U.S., will be all around in-play betting. He estimated that ‘roughly 50 percent’ of bets are currently placed in game.
Aitken also said that within three years, their expectation is that roughly 75 percent of bets will be placed in-play so the future of the U.S. sports betting opportunity is in-play bets.
PointsBet is endeavoring to obtain market share in U.S. sports gambling. According to research firm Grand View Research, it is estimated that the global online gambling market size will reach $127.3 billion by 2027 while U.S. sorts betting revenue has been forecast to reach $2.5 billion this year and $8 billion by 2025.
The Sports Betting Company is betting on in-play wagering, which enables customers to make micro-bets during games.
PointsBet operates in Illinois, Colorado, Iowa, Indiana, New Jersey and Michigan and has its US headquarters in Denver.
Banach Technology is based in Ireland and develops risk management and trading platforms. The company supports traditional and in-game betting products for the four major US sports leagues and international soccer leagues.
In the US, sports such as hockey, basketball and football are not conducive to in-game betting. Golf and baseball among others are, however suited for it.
