Betsson has confirmed the completion of its €64.5m acquisition of Rhino Entertainment, expanding the company’s presence in Canada’s iGaming market.
First announced in March, Betsson has bought Rhino’s Canadian-facing B2C business entities, including its assets, licences, personnel and operational capabilities.
Rhino is present in Ontario and Alberta through its Casino Days platform. Meanwhile, it also has brands licensed elsewhere in Canada under the Kahnawake Gaming Commission.
In addition to the B2C business, Betsson is acquiring Rhino’s proprietary front-end and middleware technology, which the company said will strengthen its B2B offering and drive licensing revenue.
Betsson has made an upfront payment of €51.25m, and a deferred payment of the remaining fee will be paid six months post-closing.
Alberta on the horizon
Closure of the deal is particularly timely given that Alberta’s iGaming market opened up to much fanfare on 13 July, with 22 sites, including Casino Days, going live from the off.
More than 50 online sports betting and casino sites have been licensed by Alberta Gaming, Liquor and Cannabis (AGLC), yet Betsson was a notable absentee from this lift given that it has had a presence in Ontario, Canada’s first iGaming province, since February 2023 through Betsafe.
By completing the move for Rhino, Betsson has remedied this situation and entered a market which is projected to reach revenues of CA$1.35bn (£730m).
However, success in the province is not guaranteed as Betsson is competing for the attention of Alberta’s five million residents with some of the biggest names in North American gambling, including BetMGM, DraftKings, FanDuel and Caesars.
It will also have to navigate a market that has extensive licensing and responsible gambling requirements, as well as a 20% tax framework.
Not a new approach
Following the announcement in March, Betsson described the transaction as remaining consistent with its strategy to invest in existing and new B2C markets and grow its B2B business.
In recent years, Betsson has completed similar acquisitions of betFIRST in Belgium, INKAbet in Peru and Colbet in Colombia.
The firm also agreed to acquire Holland Gaming Technology and Holland Power Gaming in 2024. However, it later withdrew from the deal after the Dutch Gambling Authority failed to grant regulatory approval for the transaction before the agreed deadline.
Following the announcement of the deal with Rhino in March, Betsson stated: “The acquisition is expected to add economies of scale, strengthen profitability and expand Betsson’s growth opportunities in its B2C and B2B businesses.