Sportech has announced that it has entered into an agreement to sell its Bump 50:50 brand to security printing company Canadian Banknote for CA$10M (US$7.8m).
The conditional agreement includes a CA$2m earn out related to 2022 performance and is expected to be completed during Q2 later this year.
The sports betting technology supplier said the net proceeds will help create further investment capital of its sports betting ambitions in Connecticut and its retail gaming business.
Its Bump brand provides technology and services which helps clients to offer digital raffle fundraising programmes in stadiums and also online, with clients including foundations associated with sports teams and leagues in the US.
Canadian Banknote operators in the lottery and charitable gaming sector with clients including the Ottawa Senators and the Toronto Maple Leafs.
Sportech CEO Richard McGuire said: “We are immensely proud of the progress the Bump management team have achieved in recent years and believe the acquisition by CBN will provide additional opportunities and a broader product suite ultimately leading to further innovation, benefitting all clients, within the charitable gaming space.”
Canadian Banknote lottery systems president and CFO Craig Bascombe, added: “The acquisition of Bump 50:50 is very strategic for CBN. The organisational cultures are remarkably similar so we are confident it will be seamless for customers of both organisations. We are anxious to complete this transaction as soon as possible.”
In December, it was announced that Sportech had agreed to sell its global tote and digital business to BetMakers for AU$56.2m (US$42.9m).