(ASX: TBH – TOPBETTA HOLDINGS LTD)
SP: 39.5c
MC: $57.55Million
Cash: circa $9Million from a share placement to accelerate business growth strategy
Shares: 143,318,520 Top 20 = 50%
Website: www.topbetta.com.au
TopBetta Holdings Limited is licensed to conduct race wagering and sports betting under the Northern Territory of Australia, Racing and Betting Act.
The Company has built proprietary technology platforms that combine an online racing and sports wagering offering with a fantasy wagering platform and enables sports fans to compete against each other via online tournaments.
In 2016, the Company formed a new subsidiary, The Global Tote. As the world’s newest tote betting platform, The Global Tote operates on lower take out percentages than traditional totes, providing greater returns to customers.
The Global Tote is a wholesale-only B2B tote that is available to wagering operators globally. Currently The Global Tote holds wagering licenses in Australia and the UK, with further expansion planned throughout 2017.
The Board of TopBetta Holdings Limited (ASX:TBH) (the “Company” or “TopBetta”) is pleased to announce that it has completed contract negotiations with Modern Wagering Systems (“MWS”) to secure the code base of the Global Tote product (“The Global Tote”).
As announced to the market on the 24th May 2017, the Company was finalising the negotiations in respect of a wholesale distribution agreement pursuant to which TopBetta will be irrevocably appointed as the exclusive wholesale distributor for all MWS products for a period of time.
The Board is pleased to announce that contracts have now been exchanged between TBH and MWS which, subject to TBH completing due diligence enquiries in respect of the Code, will see TBH being assigned all proprietary rights and interests in the software code base of the Global Tote (“Code”), to use by The Global Tote or its partners
TopBetta’s Managing Director, Todd Buckingham commented: “This is a significant acquisition for TBH and fits with our preference to be the owner of important technology. It provides the Company the opportunity to increase the speed of development of the product while also retaining Intellectual Property over future developments. The team at MWS will remain a part of our strategy moving forward and we will continue to work closely with their team as we further enhance and maintain the Global Tote product.”
QUARTERLY ACTIVITIES REPORT
FOR THE PERIOD ENDING 30 SEPTEMBER 2017 Highlights
Strong quarterly wagering and tournament turnover of $54.62M up 29% on the June 2017 quarter
Robust revenue growth of over $3.34M up by 46% on the June 2017 quarter
Increase in Active Users to 10,904 up by 20% on the June 2017 quarter
TopBetta CEO, Todd Buckingham commented: “It’s been a busy quarter for the Company and we are pleased with the results that have been generated. Some of the key metrics for the quarter were to achieve licencing in the UK and the US while rolling out The Global Tote product on international racing. We were able to accomplish this while still achieving strong growth within our retail wagering business.” “We look forward to growing the wholesale and retail businesses over the Australian Spring Racing Carnival period and keeping our shareholders informed about domestic and global progress in due course.”
Please DYOR as this is not a buy or sell recommendation
Cheers
GF
