NYX to acquire OpenBet, William Hill invests £80m
NYX Gaming Group has agreed a deal to acquire OpenBet, with bookmaking giant William Hill supporting the move by investing £80 million (€100.5 million/$114.5 million) into NYX under a commercial agreement with the firm.
The investment, which comes in the form of a note redeemable in cash or shares in NYX, will be accompanied by a further investment of £10 million in NYX by William Hill.
The new 10-year commercial agreement will support the £280 million acquisition of OpenBet and focus on the development of William Hill’s existing sports betting, gaming and retail platforms, as well as a new platform over the next three years.
Sky Betting and Gaming will invest as part of the consortium with William Hill in NYX and is also investing in the note and the equity, through which both online operators will support the creation of an enlarged NYX Gaming Group.
Analysis (paywall): Doubts creep in as William Hill pursues strategy
“Our new commercial agreement is a key step in delivering our technology strategy by enhancing our current platforms and, in parallel, developing a new back-end platform for William Hill to complement and support our Trafalgar platform, which is focused on our front-end user experience,” William Hill chief executive James Henderson said.
“This route draws on the OpenBet team’s proven sports betting technology expertise and NYX’s gaming platform to give us a bespoke technology solution to support and deliver our UK and international growth strategies.”
Matt Davey, chief executive of NYX, added: “The acquisition of OpenBet by NYX completes the core portfolio of industry-leading products and services we offer to our customers.
“They are two highly complementary businesses with key strengths in regulated markets, technology services and gaming content.
“To have a consortium of operators with the pedigree of William Hill and Skybet and the public support of Paddy Power Betfair highlights the strength of NYX’s proposition and I look forward to extending our relationship with them.”
Related article: William Hill teams up with NYX for OpenBet bid – report
Analysis (paywall): Doubts creep in as William Hill pursues strategy