Canadian igaming business HeadsUp Entertainment International has signed a letter of intent (LOI) to acquire a 50% stake in online gambling operator VIP Entertainment Group.
Financial terms of the agreement were not disclosed, but HeadsUp said the LOI sets out a three-step due diligence process that should allow the acquisition to go through next month.
HeadsUp said should the purchase go ahead as expected, the combination would allow it to grow its revenue base in licensed jurisdictions around the world.
Founded in 2014, VIP is active in the online casino, sports wagering and online poker markets, operating five sportsbook brands led by VipBets.com, five online casino brands and an internet poker platform.
VIP holds a licence in Curaçao and is also in the process of applying for a licence in the UK. The operator processed over $112m (£84.3m/€94.6m) in bets over the past 48 months, generating a profit in excess of $5.4m.
Confirmation of the LOI seemingly reveals the identity of the online betting and gaming business that HeadsUp in July said it was seeking to acquire. At the time, HeadsUp said it was looking to purchase between 50% and 100% of the shares in the operator.
Meanwhike, HeadsUp – the former owner of the Canadian Poker Tour – has now said that is it also in negotiations regarding three other acquisitions, but did not disclose any details of these talks.
HeadsUp also said it will soon announce its new management team and board of directors, as part of its plans to become a leader in the gaming, lottery, bingo and esports sectors.