In late May 2022, Kings Entertainment Group announced that they are making the first step to merging with Bet99. Kings Entertainment Group is an international online lottery company. This enterprise has other verticals as well, namely casino and sportsbook. All of these segments combine to provide a robust platform for lottery players to game in one place. On the other side of the deal is Bet99, offering Bet99 casino and Bet99 sports betting activities to the Canadian market. Now that these two are joining forces, they are expected to provide the ultimate gaming experience for Canadian players. Let’s see what this merger deal entails for the sports betting market in Canada and the newly regulated iGaming world in Ontario.
Kings Entertainment Group
To help you understand the deal’s significance, we’ll first paint a better picture of how big of a company Kings Entertainment is. Their fully diluted share capital currently counts 78,681,380 shares, and their 2021 net revenue counted up to $5.9 million. The current market value of the Enterprise is $12.67 million. Finances aside, Mexico and Latin America are one of Kings Entertainment Group’s core markets. So if you’re in Mexico and you want to play Powerball or MegaMillions, you cannot do that at the local bodega. Instead, you will need to visit one of the Kings’ brands online, whether it’s LottoKings or WinTrillions. This online environment is where you can purchase your Powerball, MegaMillions, ElGordo, or EuroMillions.
Apart from online lotteries, players will find a variety of slot machines. Also, you can visit their live casino and play blackjack, roulette, or poker with live dealers. As an enterprise, they are working with the greatest providers – Evolution Gaming, Red Tiger, and Oryx Gaming. Last but not least, you can place sports bets through the rich sports betting section. Not to mention that Kings Entertainment will soon be present in the Metaverse, too, according to their official site. Therefore, the inner-linking of Kings Entertainment Group and Bet 99 will create a cemented ground for sports and casino fanatics. The partnership is the next step to achieving sticky connectivity with customers. And once the services are combined, they will reach an even larger market, expanding their target audience.
The Legal Side of the Deal Between Kings Entertainment and Bet99
A three-sided amalgamation will determine the merger’s business activities. This action will occur between SVH, the current owner of Bet99, Kings Entertainment Group, and Kings Entertainment’s daughter company. The company’s acquisition will be official as soon as the merger happens between the three parties. The bidding contract of the three subjects includes SVH merging with Subco (Kings Entertainment’s daughter company) and thus launching the newly formed Amalco. This acquisition would result in Amalco becoming the sole assets owner of both companies, therefore, bearing the full legal matters of SVH and Subco. The current ways of working would suffer no change, although Amalco would be in charge of Canco and BQC Consulting GmbH.
The KEG Shares are expected to consolidate, but not before the company acquisition under the CSE rules. Then, 20 post-purchase shares will follow company assets and resources directions. The new 20 post-purchase shares are going to apply to each KEG share if no other standing agreement appears between SVH and KEG.
What Will Bet99 Gain From This Collaboration?
In simple words, the collaboration between Kings Entertainment and Bet99 means the future looks bright due to forged expertise. Considering Kings Entertainment will ink the merger deal with the parent company of Bet99 Sports Venture Holdings Inc (SVH), it will give Bet99 more scalability with some capital.
As of now, Bet 99 is registered and regulated by the Kahnawake Gaming Commission. Unfortunately, the KGC isn’t fully recognized in the Canadian gaming market, especially in Ontario. Because of this, Bet99 was able to operate semi-legally in Ontario. Even so, this company had big sponsorships such as Auston Matthews, the Ottawa Senators, and a couple of Montreal teams, among others. However, as soon as the deal goes through, Bet99 will broaden its audience in a fully regulated manner.
Conclusion
The Ontario regulators were working with Bet99 with a goal in mind – to make the deal happen. Even though financial terms haven’t yet been released, this contract is expected to increase the market share and improve the online casino’s operation in Canada.
