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SharpLink to acquire SportsHub Games Network


US-facing user engagement and conversion solutions supplier SharpLink Gaming has agreed a deal to acquire fantasy and sports games provider SportsHub Games Network.

Financial terms of the deal were not disclosed, but it was confirmed that the acquisition would be an all-stock transaction, with completion subject to certain closing conditions, including shareholder approval by SharpLink’s shareholders.

Founded in 2015, SportsHub operates a number of real-money fantasy sports and sports simulation games on its platform. These games reach more than two million players who spend almost $40m annually, helping SportsHub to $6.0m in revenue.

Brands currently available from SportsHub include the National Fantasy Championships, the operator of high stakes fantasy football, baseball and basketball contests with grand prize pay-outs as high as $250,000, as well as Bestball10s, the Fantasy National Golf Club, and Fanball.

SportsHub also offers games and predictions brand WhatIfSports, as well as LeagueSafe, an online platform to support private fantasy leagues with functions such as collecting entry fees and facilitating end-of-season pay-outs.

SportsHub is currently SharpLink’s largest shareholder with approximately 8.9 million shares of SharpLink ordinary shares. Terms of the merger agreement state that SharpLink will be required to distribute these shares to stockholders immediately prior to the closing of the deal.

Stockholders of SportsHub will receive an aggregate of 3.67 million ordinary shares of SharpLink in exchange for all outstanding capital stock of SportsHub when the deal completes.

“This acquisition gives SharpLink access to a large and loyal base of fantasy sports fans who we know are also sports bettors, or would likely become sports bettors when legalized in states where they reside,” SharpLink co-founder and chief executive Rob Phythian said.

“With a thriving ecosystem of cash players, many of whom have money in their user accounts, we have a tremendous opportunity to seamlessly integrate compelling sportsbook offers within all aspects of the user experience.”

SportsHub chairman John Lettmann added: “We are excited about the combination of SportsHub and SharpLink. It represents a merger that we believe will create a significant opportunity for our companies as the US sports betting industry evolves and matures.

“SharpLink’s leadership and expertise will help accelerate growth within our core fantasy sports and gaming products and allow us to become an industry leader in how sports media and gaming operators interface with sportsbooks to deliver value for all stakeholders.”