Online betting and gambling operator, LeoVegas has announced that they have acquired Expekt Nordics Ltd and related assets (“Expekt”) from Betclic Group.
Under this agreement, they will take over all assets related to the Nordic facing betting brand. The total purchase price for all the assets is five million euros. This new acquisition will strengthen LeoVegas’ brand portfolio with a better foothold in the world of sports betting, especially in the north of Europe.
They will take control of the Malta-based Expekt Nordics brand. While it is a Malta-based operation, it looks like the important thing for LeoVegas in the acquisition is the Swedish licence and their ability to conduct operations in many Scandinavian countries.
LeoVegas will migrate Expekt onto its proprietary technology platform, in an attempt to revitalise the legacy sportsbook brand. They expect to finish the technical migration of Expekt onto its operating systems by May. LeoVegas have also stressed to their investors that the acquisition is part of their plan to strategically expand their sportsbook portfolio. They aim to diversify their revenues away from online casino during 2021 and 2022.
Expekt is a Swedish based sports betting brand that was founded way back in 1999. They have had major success in the Swedish and Nordic markets in the early 2000s but since that time they have become more of a legacy institution that relies on their brand awareness. That awareness has remained high since their beginnings, but their market share has been in decline for the past few years. This acquisition will help the brand revitalise their offerings and grow their market share again.
Comment from LeoVegas
Gustaf Hagman, Group CEO LeoVegas wrote in their press release:
“For those of us who grew up with online gambling in Sweden, Expekt is undeniably one of the pioneers in sports betting. I can remember back in the early 2000s when everyone played on Expekt. After a few years on the sidelines, we will now restore Expekt to its former glory as the leading sports betting brand.”
“We are working resolutely to offer the ultimate mobile sports betting experience, which will entail a number of new innovations and new thinking with a starting point from what a mobile experience can entail for the big years of sport in 2021 and 2022. This is a milestone for LeoVegas and represents a broadening of our strategy. We look forward to Expekt once again becoming a leading sport brand in Sweden and the Nordic countries.”
The Future for LeoVegas
LeoVegas has had a fantastic year. Last month LeoVegas reported a 103.2% year-on-year increase in comprehensive profit in 2020, after its strongest-ever fourth-quarter performance helped it post record results for the year. Their total revenue for the year is €387.5m, up 8.9% from €356.0m in the previous year.
Now that they are in a very significant growth period, it makes sense that the company would be looking at their future. They have been reliant on their online casino games but now that the world of sports are opening back up in earnest, they are looking to take advantage of that.