Nordic gambling operator Betsson AB has expanded its Baltic markets presence via the acquisition of TonyBet’s parent company.

On Thursday, Betsson announced that it had acquired Lošimų strateginė grupė UAB, which operates under the TonyBet brand. Betsson has agreed to pay an initial €4m with a further €2m payable in 2017 if the site meets certain performance benchmarks. The deal is expected to officially close within one month.

TonyBet holds online gambling licenses in Lithuania, Latvia, Estonia, Denmark and the UK and also operates 20 retail betting shops in Lithuania. TonyBet was founded by Antanas Guoga aka Tony G, a well-known poker player and a Lithuanian-elected member of the European Parliament. Betsson said TonyBet generated revenue of €3m and adjusted earnings of €550k in the first half of 2016.

Betsson already operates in Baltic markets via its Triobet brand and CEO Ulrik Bengtsson called the TonyBet deal “a good strategic fit” for his company, in keeping with its ambition to “increase revenue from locally regulated markets.”