PointsBet (ASX:PBH) has welcomed a significant equity investment from SIG Sports Investments Corp., a member of the Susquehanna International Group of Companies (SIG) – one of the largest proprietary financial trading firms in the world.
The SIG placement of 38,750,000 shares at A$2.43 per share, raises A$94.16 million and SIG Sports will become PointsBet’s largest shareholder representing 12.8% of the company’s issued capital.
After several years of thoroughly evaluating the North American sports betting market for the right partner, SIG Sports is pleased to have made what we consider to be a long-term investment in PointsBet,” SIG Co-founder and Managing Director, Jeff Yass, said.
“We have been following their journey for some time and have developed a very positive view of the overall business operations and the capability of the PointsBet leadership team. We believe PointsBet has great potential for future growth and success in the North American sports betting market and SIG has both the analytics and capital to help realize that potential.”
PointsBet Chairman. Brett Paton, said SIG is a visionary investor which has committed ongoing support and is eminently qualified in analytical trading in financial markets, and now in sports.
“The cultural alignment between both organisations is strong, and this investment will assist with expanding and growing our North American operations as we seek to lead in in-play betting and enhancing the overall customer experience.”
Acceleration of Sports Analytics and Quantitative Modelling Capabilities
The company has also revealed that its wholly owned subsidiary, PointsBet Europe Holdings Limited, formerly Banach Technology Limited (PBE), has entered into an exploratory agreement with Nellie Analytics, a member of SIG, pursuant to which Nellie Analytics will provide agreed exclusive sports analytical services to PBE at nil cost for a period of nine months.
During the Exploratory Term, Nellie Analytics will provide PBE with sports analytics and quantitative modelling services while the parties continue to scope and develop the terms for additional services with the intention of entering into a definitive long-term agreement.
Nellie Analytics currently utilises in sports analytics the same quantitative approach that drives SIG’s success in the financial markets, bringing together expertise in mathematics, gaming, and technology.
Nellie Analytics, based in Dublin Ireland, with a team of approximately 30 technologists, has built cutting-edge quantitative models and technology to trade and make markets for professional sports using trading acumen, advanced statistical forecasting models, and quantitative research.
Building upon Nellie Analytics’ capabilities, the Exploratory Services and Further Services will complement and enhance the operational capabilities of PBE and accelerate the Company’s technology roadmap as it relates to highly sophisticated risk management and trading algorithms, with a focus on in-play in the North American market.
