Brandon Harris

Playmaker Signs Multi-year Partnership with Complexity Gaming

Published

2 years ago

March 9, 2023

Playmaker, a leading social media sports and entertainment content platform catering to Gen Z, and Complexity Gaming, a GameSquare company, have entered into a multi-year partnership to link traditional sports and gaming through content collaboration and strategic development with athletes and gamers.

“Given its emerging popularity among our audience, we know this is the optimal time to fully embrace esports, and launch a dedicated channel. Complexity Gaming’s support is essential in building out this new vertical, as we now have significant connections to prominent industry tools, leaders and influencers,” said Playmaker CEO Brandon Harris.

As a leading esports organization in North America, Complexity will serve as a key resource for Playmaker as it ventures into the ascending esports market with its recalibrated esports and gaming channel, playmakerOP. The partnership will arm Playmaker with preferred access to GameSquare’s full service content studio, creative assets, gaming equipment and technology, and a roster of high-profile athletes and gaming influencers under management. Additionally, Playmaker will utilize Complexity’s two decades of industry knowledge as it builds out a comprehensive gaming strategy.

Playmaker’s sizable following enhances Complexity’s efforts to drive media visibility and brand awareness. Playmaker’s audience includes more than 18 million followers across social platforms, touching a variety of verticals including sports, betting, and entertainment. Additionally, Playmaker manages and produces content with notable athletes and influencers such as Tracy McGrady, Nate Robinson, and Xavien Howard, amplifying the magnitude of its influence and reach.

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“We want to ensure that we are at the forefront of the convergence of gaming and traditional sports. Working alongside Playmaker affords Complexity access to engaged audiences across sports and entertainment, noteworthy influencers, and key brand relationships, making the company the ideal partner to expand our capabilities and serve our growing global audience,” said GameSquare CEO Justin Kenna.

Affiliate Industry

Better Collective Acquires American Sports Media Company Playmaker HQ

Published

1 year ago

July 4, 2023

GamingAmericas.com

better-collective-acquires-american-sports-media-company-playmaker-hq

On the journey toward becoming the leading digital sports media group, Better Collective significantly expands its efforts within social media and sports content production by acquiring Playmaker HQ for a total consideration of up to 54 mUSD, 15 mUSD of which will be upfront.

Playmaker HQ is a leading sports and entertainment media platform headquartered in South Florida, US. The sports media group specializes in providing original entertainment and sports content with exclusive athlete collaborations and creator talent mainly targeting the US market.

Currently, Playmaker HQ distributes more than two thousand monthly pieces of sports content mainly on Instagram, TikTok, Twitter, Snapchat, and YouTube. The group has more than 20 million followers across these platforms, increasing from seven million in 2020. Monthly, the content reaches over 500 million users. Playmaker has partnered with a wide variety of top brands including leaders in the sports apparel and fast moving consumer goods industries. Furthermore, the company has won several awards including Hashtag Sports’ “Top Snapchat Show” as well as four film festival awards.

Highlighted Acquisitional Synergies

Adding to Better Collective’s legacy audience of sports betting enthusiasts, the group gains access to a new and large audience of highly engaged generalist sports fans which subsequently increases the value offering to Better Collective’s existing partners.
Playmaker HQ holds extensive sponsorship sales know-how that will increase Better Collective’s ability to monetize audiences outside its core sports betting audience.
Currently, Playmaker HQ is only active in North America, and expects to be able to scale content and know-how internationally across the group’s global presence.

Transaction Details

Playmaker HQ is experiencing rapid growth, and is targeting full year revenue of >10 mUSD in 2023 with an EBITDA-margin of 20-25%. Given the rapid growth the deal has been constructed with an earn-out component to ensure the growth continues.

Better Collective will pay up to 54 mUSD on a cash and debt free basis, including an upfront cash consideration of 15 mUSD, 1 mUSD in deferred payments, and up to 38 mUSD in performance-based earnout payments over a three year period.

In order to reach the full earn-out payment, Playmaker HQ will have to generate >75 mUSD in accumulating revenues and >25 mUSD in accumulating operational earnings (EBITDA) during the first three years post acquisition.

The acquisition will be conducted as an asset purchase meaning that Better Collective expectedly will benefit from certain tax deductions related to the acquisition price. The transaction will be funded by cash, with optionality to pay some of the earn out in Better Collective shares.

Marc Pedersen, CEO Better Collective North America, said: “We have been following Playmaker HQ for some time, and are excited to announce the transaction today. Playmaker HQ offers access to millions of sports fans in the US, the majority of which are new in the Better Collective user base. We are excited to help enhance these fans’ sports betting experience, while also being able to utilize Playmaker HQ’s know-how to scale the product and revenue stream across Better Collective’s global portfolio.”

Brandon Harris, CEO Playmaker HQ, said: “Joining forces with Better Collective marks a significant milestone for Playmaker HQ. We cannot wait to make plays with Better Collective’s world class team who will help us create amazing content, experiences and opportunities, reaching an even wider audience of sports fans globally. I know our creators are going to do amazing things with the support of Better Collective’s team and resources. We are just scratching the surface, and we are so excited to align with Better Collective to help achieve OUR vision of building the world’s leading sports media group.”