Online gambling technology suppliers GAN have made a bold step to bolster their US market opportunities with the acquisition of customer-facing online operator Coolbet.

On Monday, the Nasdaq-listed GAN announced that it had struck a €149.1m deal for Vincent Group plc, the parent company of Malta-based online gambling operator Coolbet. Assuming regulatory approval, the deal is expected to close in Q1 2021.

GAN said the deal involves €80m (US$95m) in cash and the balance in an exchange of GAN ordinary shares. GAN had US$57.5m (€48.5m) in cash and equivalents as of September 30 but the company said it will “seek new capital in the coming weeks” to shore up its balance sheet.

Coolbet generated revenue of €26m last year, with revenue of €18.6m – split roughly 50/50 between sports betting and casino – and earnings of €500k over the first three quarters of 2020. Coolbet, which boasts gaming licenses in Estonia, Sweden and Malta, currently has around 175 staff, mostly based in Tallinn, Estonia.