RBP Luxembourg set to acquire Sportech Racing BV
Sportech has agreed to sell its Sportech Racing BV business to RBP Luxembourg for up to €3.25m ($4m).
RBP will pay €2.8m of the consideration upon closing of the deal, with a further €450,000 be payable in January 2019, subject to certain agreed performance conditions.
Subject to approval, the deal should go through before the end of the second half.
Sportech Racing BV operates as the Dutch arm of Sportech and in June of last year secured a new five-year licence for the exclusive rights to carry out tote betting on horseracing in the country.
Andrew Gaughan, chief executive of Sportech, said: “The proposed disposal represents an attractive opportunity to realise value following the successful licence extension and restructuring of the business by management as we increase focus on US growth opportunities.
“Sportech will continue to provide RBP, under a long term contract, its ongoing tote services and also has a strong working relationship with them focused on developing and selling their French racing pools into our vast footprint of global customers.”
Sportech intends to release its preliminary financial results for 2017 tomorrow (Tuesday).
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