Veltyco, an online marketing company for the gaming industry, has entered into an exclusivity agreement to potentially acquire the entire issued share capital of Ruleo, which operates a sportsbook brand called BTTY.
It is currently envisaged that Veltyco will acquire Ruleo along with the domain and brand names and the associated software for operating the BTTY sportsbook for a total consideration of EUR6.5 million, to be satisfied through a mixture of cash and shares and will likely include a deferred element.
The proposed acquisition is subject to completion of due diligence by Veltyco and formal documentation on or before the expiry of the exclusivity period on 15 March 2018.
Using proprietary technology for the front and back end of the operations, BTTY currently has a gambling licence in Schleswig-Holstein in Germany and an official bookmaker licence in Austria.
The board of Veltyco believes that the proposed acquisition, if concluded, represents an exciting opportunity for Veltyco to grow BTTY, both in Germany and Austria and in to new territories, by using Veltyco's expertise in online marketing, in conjunction with its experience in the online gaming industry. Ruleo operates certain active marketing agreements which will provide further opportunities for Veltyco's existing business.
At 8:12am: (LON:VLTY) Veltyco Group Plc share price was -1p at 86p