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Betmakers (ASX:BET) launches $10M SPP for Sportech asset purchase

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ASX:BET      MCAP $120.6M
31 December 2020 10:30 (AEST)
BetMakers (ASX:BET) - CEO, Todd Buckingham

Source: SmartCompany

BetMakers Technology Group (BET) has confirmed details of the company’s previously announced $10 million Share Purchase Plan (SPP).

The news comes after receiving approval from Sportech shareholders for the acquisition of the Racing and Digital assets.

Under the terms, eligible BetMakers shareholders, can participate in the SPP by subscribing for up to $30,000 of new shares regardless of how many shares they currently hold.

BetMakers intends to raise up to $10 million under the SPP with the company reserving the right to accept oversubscriptions at its discretion.

The issue price of $0.60 per share represents the same price as the Shares issued under the recently completed placement. Full details of the SPP will be sent to eligible shareholders on or around January 5, 2021.

The funds raised under the SPP and $50 million Placement, will be applied toward BetMakers’ acquisition of Sportech’s tote and digital businesses. The purchase price of Sportech is £30.9 million (around A$55 million)

New Jersey approves pilot program

In other news, Betmakers has received approval from the New Jersey Racing Commission for a pilot program to conduct fixed odd wagers on on Grade 1 stakes races. At a public session on 18 November, the New Jersey Racing Commission approved the program with a commencement date of 1 January 2021.

This Approval is separate to the current legislative process which is currently underway in the U.S.

Betmakers CEO Todd Buckingham comments, “We welcome the positive news that the New Jersey Racing Commission has supported the introduction of a pilot program on Fixed Odds for horse racing while we work through the legislative process for a more comprehensive offering.”

BET shares are down 4.29 per cent at 67 cents at 7:54am AEDT

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