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Scout Gaming publishes Q4 2019: Revenues increased 117% to mSEK 10.0

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”I’m happy to once again report a quarter undergoing solid growth, revenues increased by 117% to mSEK 10.0. We are experiencing an accelerating global demand for Scout Gaming’s products, which has resulted in an increased client activity both in terms of number of clients and number of products launched on each client.

Scout Gaming Operator Trading Index which illustrates the underlying client activity amounted to 1035, which is more than a tenfold increase since initiation and compared to the corresponding quarter previous year an increase amounting to 66%. The current growth is a result of previous signed agreements and proves that we are starting to experience results from previous investments in product and organization.

EBITDA improved from mSEK -15.8 to mSEK -8.1. Cash flows from operating activities improved from mSEK -11.2 to mSEK -2.6 during the current fourth quarter. We have a situation where we both have positive operational cash flow and EBITDA result within reach but also facing great growth possibilities.”

Extract from CEO Andreas Ternstrom’s commentary to the Year-end Report.

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Quarter: October – December 2019
• Revenues increased to mSEK 10.0 (4.6), corresponding to a growth of 117% compared to same quarter last year

• EBITDA improved to mSEK -8.1 (-15.8)

• Net result improved to mSEK -13.3 (-17.8)

• Earnings per share amounted to SEK -0.9 (-1.4)

• Operator trading index (which illustrates the underlying client activity) increased to 1035 (625), a growth of 66%.

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• Scout Gaming Group successfully launched with the operator brand Betway, initially for the African market under Betway’s African licensee partner. Betway was founded in 2006 and is among the leading global operators. The brand is currently operating under local licences in a number of jurisdictions.

• Scout Gaming Group appointed Terje Bolstad to Group COO. Terje has an overall organizational responsibility for the Group as it now moves into an intense growth phase.

Full year: January – December 2019
• Revenues increased to mSEK 25.7 (14.6)

• EBITDA was mSEK -42.8 (-37.0)

• Net result was mSEK -52.2 (-45.8)

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• Earnings per share amounted to -3,8 kr (-3,6)

 

Events after the period ended
• Scout Gaming Group entered into an omni-channel agreement with Allbet to deliver the company’s Daily Fantasy Sports platform. Allbet is currently operating in the locally licensed Namibian market both online and land-based.

• Scout Gaming Group conducted directed share issues corresponding to approximately mSEK 36 towards institutional and industrial investors. Subscribers were Topline Capital Management, Tekkorp LLC, Enlabs AB (publ), Knutsson Holdings AB, and Novobis AB among others.

Scout Gaming Group will supply Norsk Tipping with its fully fantasy sports offering after winning a tender and signing a contract with the Norwegian state-governed entity.

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• Scout Gaming has entered into an agreement with Bet Entertainment Technologies to deliver the company’s Daily Fantasy Sports platform. The agreement gives Bet Entertainment Technologies full access to Scout Gaming’s DFS platform enabling them to offer a complete Daily Fantasy Sports solution to all its customers in the international market. Bet Entertainment has growing operations in South America and is active in Portugal with bet.pt, considered to be the largest sports operator in the locally licensed Portuguese market.

• Scout Gaming Group has signed a distribution agreement with NetEnt, which will give NetEnt’s customers access to Scout Gaming’s entire product offering. Scout Gaming is currently being integrated on NetEnt’s platform and will be available to NetEnt’s customers shortly.

Adam Wexler

PrizePicks Extends Partnership as Official Daily Fantasy Sports Partner of the Atlanta Braves

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PrizePicks, the largest daily fantasy sports operator in North America, announced that the company has reunited with the Atlanta Braves as the club’s Official Daily Fantasy Sports Partner for the 2024 season. The partnership extends a longstanding relationship that dates back to 2020, with the two Atlanta-based companies continuing to work together on unique opportunities for their dedicated fans.

“We are thrilled to continue our ever-growing relationship with the Atlanta Braves. As a homegrown company born in Atlanta, it is a priority for us at PrizePicks to engage with local fans by continuing to bring amazing experiences to Braves Country,” Adam Wexler, CEO and Co-founder of PrizePicks, said.

PrizePicks will receive out-field LED signage as well as prominent signage throughout Truist Park. The company will also gain access to VIP experiences throughout the baseball season, including a “Pick of the Game” that will be featured on the Braves Radio Network pregame radio show for all 162 regular season games.

“PrizePicks has been a valued partner for years. They are the leader in their industry and a prominent local Atlanta business, and we are happy to extend our relationship with them for the 2024 season,” said Jim Allen, Atlanta Braves Senior Vice President of Corporate and Premium Partnerships.

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Adam Wexler

PrizePicks Announces Plans for New, Expanded Headquarters in Atlanta

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PrizePicks, the largest daily fantasy sports operator in North America, announced plans for its new 33,000 square foot Atlanta Headquarters, which will be located in the Star Metals Building in Midtown Atlanta. The company plans to grow its workforce by 1000 new jobs over the next seven years, the economic impact of which will be $25M to the state of Georgia.

“Atlanta has always been our home, where we are redefining mobile sports entertainment. This move to Star Metals will help us create more world-class, high-skilled and high-wage jobs in our great city while we deepen our connections across the community,” Adam Wexler, Co-founder and CEO of PrizePicks, said.

Star Metals is a pioneering mixed-use district in Atlanta’s thriving West Midtown neighborhood. This new development raises style and luxury to new heights along the Howell Mill Road corridor. Inspired by the history of West Midtown and its cultural resurgence, Star Metals is playing a key role in forging the future of an ever-evolving Atlanta.

“Georgia continues to be a driver of tech growth and innovation, attracting innovative companies with its unique mix of talent and infrastructure. Today’s announcement is a reminder of our strength in both welcoming new projects as well as creating an atmosphere where existing businesses can expand and thrive. I look forward to seeing the impact of these thousand jobs on the Atlanta community,” said Governor Brian Kemp.

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“Congratulations to Adam Wexler and the team at PrizePicks for choosing Atlanta to expand their headquarters. Metro Atlanta has all the ingredients to help PrizePicks thrive, including diverse tech talent graduating from our leading colleges and universities, global connectivity through our airport, a large and engaged business community and a desirable quality of life,” said Katie Kirkpatrick, president and CEO of the Metro Atlanta Chamber.

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Aird & Bellis

Canadian Gaming Summit: Providing the Framework for Sports Betting Success

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As sports betting professionals seek to strengthen their connection with Canadian bettors, the Canadian Gaming Summit will provide the optimal framework for stakeholders to harness brand loyalty, innovate their offerings and strike lucrative partnerships, all aimed at solidifying their presence in the region.

The Sports Betting track is scheduled to take place on the first core day of the summit, Wednesday, June 19, at the Metro Toronto Convention Center. Catering to 3,000 industry stakeholders, discussions will encompass fostering mutually beneficial relationships with sports leagues, strategies to emulate the success of Canadian lotteries, analyzing the profiles of Canadian sports viewers and exploring the future of eSports and daily fantasy sports (DFS).

Opening the track is the panel entitled The Winning Ticket: How Sports Betting Can Emulate Lottery’s Appeal. It will explore the strategies sports betting operators can adopt to rival the popularity of traditional Canadian lotteries. Industry experts will examine whether sports betting operators are taking the right approach to emulate the success, brand loyalty and integrity of lotteries and whether a rise in the popularity of sports betting will affect provincial lottery models.

The session entitled It’s All In The Game: Innovations In Live Betting will shed light on how live, in-gaming betting is leading the way for innovation within sports betting. Industry luminaries will discuss the importance of crafting real experiences for bettors, analyze the profiles of potential bettors and explore strategies to fully integrate sports streaming content with sportsbooks.

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The Game Changers: Collaborative Synergy With Sports Leagues panel will explore the power of sports league partnerships and how they are redefining the Canadian sports betting landscape. Expert panelists will delve into the intricacies of such partnerships and discuss how successful partnerships can be leveraged to enhance brand visibility, fan engagement and market presence. The panel will also examine successful case studies, partnership models and ideal strategies for achieving mutually beneficial partnerships.

Expert speakers set to appear across the track will include Conor Murray (VP Marketing, FanDuel), Nic Sulsky (CCO, Pointsbet), Owen Welsh (VP Gaming, Sports Betting and Innovation, CFL), Martin Lycka (SVP American Regulatory Affairs and Responsible Gambling, Entain), Britt Doll (Global Marketing Director, Rivalry), Tomer Imber (Senior Director of Sales, Optimove), Iain Montgomery (founder, Now or Never Ventures), Michael Sandalis (founder, Wait What), Peter Czegledy (Partner, Aird & Bellis), Anthony Gaud (founder, Gaud Hammer Gaming Group), Sean Simpson (Senior VP, IPSOS), Paul Burns (President, CGA), Scott Morasch (Senior VP, IPSOS), Sebastian Jedrzejewski (Director Regulatory Affairs, US Integrity), Greg Bloom (CEO, BYB Extreme), Steve McAllister (VP, Parleh Media), Troy Ross (President, TPM Public Affairs), Witek Wachinski (VP Strategy and Development, BetMGM), Patrick Harris (Managing Partner, Rubicon Strategy) with more to be announced.

Attendees will have the opportunity to strengthen their knowledge of the Canadian market through dedicated conference tracks on affiliation, advertising, leadership, land-based operations, payments and compliance. Additionally, attendees will have the opportunity to attend a pre-day player protection symposium.

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