Super Group maintains revenue guidance of €1.15 billion
Super Group maintains its outlook for 2022 and is reiterating previously stated guidance on its revenue and adjusted EBITDA of between €1.15 billion and €1.28 billion, and €200 million and €215 million, respectively.
The acquisition of Digital Gaming Corporation is expected to close in January 2023, enabling Super Group to enter the U.S. online sports betting and gaming markets.
Betway is in financial discussions with long-term partner and key supplier Apricot, its sportsbook provider for a number of jurisdictions in which they operate outside Africa. As such, Super Group is considering an arrangement that would materially increase the dedicated development resources available to Betway as its exclusive licensee of its sportsbook.
This involves increasing the spending and investment in software development for the next several quarters, a portion of which may be as a loan to Apricot not to exceed €43 million to cover the substantial resources dedicated to Betway. In connection with this additional spending, Super Group and Apricot have begun discussions oriented towards the possibility of Super Group obtaining full ownership of its sportsbook through an option to purchase a copy of the underlying technology in the future. These discussions are in their early stages and Super Group cannot give any assurance on reaching binding terms.
Neal Menashe, Chief Executive Officer of Super Group, stated, “We are taking steps to strengthen Super Group, simplify the capital structure, and better position the Company for growth. In relation to discussions regarding our sportsbook, we are exploring with our long-term partner the potential benefits of ownership of the technology.” Mr. Menashe continued, “I look forward to discussing our results and business updates in greater detail after we release third quarter results on November 22.”