888 Finalizes Mandalay Purchase From JPJ Group

888 Holding PLC, one of the world’s most revered online gambling operators, seems to be on a shopping spree! With at least two acquisitions already accomplished this year, the announcement of JPJ Group’s Mandalay purchase showcases this year’s strategy of gaining foothold in diverse operating business.

The completion of this $23.7 million buy was confirmed this week, after last month’s initial news on this matter. According to the minutiae of the arrangement…

…888 will assume full ownership of Jet Management Group’s and Jet Media’s Costa Bingo as well as various other online bingo brands.

A Consolidation of Brands Bolstered by Organic Growth

According to the London-listed company’s chief executive officer, Itai Pazner…

…this acquisition is undertaken as a part of a global expansion across the regulated market, with UK’s bingo sector being of significant importance. Stressing the organic growth initiatives ed by M&A that enhanced value, he remarked:

“Having been developed on Dragonfish, the Group’s first-class B2B platform, we are confident that consolidating these brands into our existing B2C portfolio will deliver synergies and growth opportunities by applying the full extent of 888’s core capabilities in product, marketing and customer relationship management to their operations.”

Jackpotjoy Brand Becomes a Priority

It was also in JPJ Group’s interest that this purchase is finalized successfully…

…because they’ve already outlined a strategy of a single-brand focus in the UK which will revolve around their flagship site, Jackpotjoy.

BetBright’s Change of Hands

The beginning of March brought about the closure of 888’s buy of BetBright, a sports betting operator that has halted all of its operations until the final formalities of the acquisition have been taken care of.

The £15 million purchase prompted BetBright to publish a notice on their website calling on their punters to withdraw funds before the site begins anew under 888’s management.

Financial analysts who are well-acquainted with details of this deal claim that BetBright’s business is not doing well and are quite baffled by the operator’s decision to invest into a “failing brand.”

Last Year’s Financial Results Are Encouraging

However, there are not too many reasons for the company not to feel optimistic about this or any other subsequent move, as 2018’s EBITDA results show.

Continued progress was delivered against strategic objectives as was focus on driving growth in regulated markets. “Underpinned by the strength of the group’s technology as well as our fantastic team and diversification across products and regulated markets, the board remains excited by 888’s long-term growth prospects,” read the official company statement.

Source:

“888 completes acquisition of Mandalay from JPJ”, igamingbusiness.com, March 13, 2019.