Esports Entertainment agrees deal to acquire Argyll Entertainment7th May 2020 1:21 pm GMT
New York-listed Esports Entertainment Group has entered into an agreement to acquire LHE Enterprises, the holding company of online betting and gaming operator Argyll Entertainment.
Esports Entertainment has signed a binding Letter of Intent (LOI) to acquire Argyll Entertainment and its operating subsidiaries, which has been operating the UK and Ireland-facing Sportnation.bet brand since the summer of 2017.
It will be the first acquisition for Esports Entertainment, which became the first esports-focused company to be listed on New York’s NASDAQ Capital Market last month.
Argyll currently has 40 staff and is licensed by the UK Gambling Commission and the Irish Revenue Commissioners, with operational support services in London, UK and Malta.
“With Argyll already generating around $12m in revenue annually, this acquisition will have a major positive impact for our company,” said Esports Entertainment Group CEO Grant Johnson. “In the current global environment of COVID-19 there has been a surge of interest in online gaming to fill the void left by traditional sports and other activities.
“Argyll’s established footprint and revenue base, combined with our strong cash position from our successful April capital raise combined with our esports betting platform, places Esports Entertainment in a great position to capitalize on this evolving opportunity.”
Shares in Esports Entertainment Group Inc (NAQ:GMBL) closed up marginally by 0.80 per cent at $3.80 per share in New York Wednesday.