Picklebet secures $15M investment with backing from DraftKings

Finance News

Picklebet, the Australian next gen betting and media company at the nexus of esports, sports, and internet culture, has closed a $15M AUD Series A round of financing.

The financing round was led by Discerning Capital, a growth stage investment firm that sits at the intersection of online gambling, sports, media, and technology. Sports technology and entertainment leaders Drive by DraftKings, and media investors Manifest Investment Partners participated in the round. The round also included follow-on investment from seasoned wagering and media investor Jeff Sagansky.

“After a particularly strong 12 months of growth which saw NGR up 494% YoY and favorable unit economics on new customer cohorts, this investment validates our innovative in-house betting product and organic media strategy, and the value it delivers to the next generation of betting customers.” said Picklebet CEO Nick Heaney. “We look forward to utilising the funds raised to accelerate customer acquisition in Australia, continued innovation of our proprietary in-house technology platform and media capabilities, and fund our initial international expansion.”

Picklebet’s gaming product is a proprietary Online Sports Betting (“OSB”) platform that delivers a fun, focused and forward-facing product experience geared toward tomorrow’s betting customer. Initially a leading esports OSB, Picklebet has expanded into sports and racing to meet customer demand; offering singles, parlays, same game / race parlays, and outrights. Currently licensed and operating in Australia, Picklebet plans to expand its modular platform internationally in 2024.

Picklebet’s media division, Pickle Studios, is a rapidly growing sports betting media brand domestically and internationally, focused predominantly on in-house original and short form humorous, culturally relevant, and engaging sports and esports content. Pickle Studios and collaborators surpassed 60 million impressions so far in 2023 on trending social media channels (TikTok, Instagram, YouTube). Pickle Studio’s content provides efficient brand awareness and low customer acquisition costs for Picklebet’s OSB product, positioning the company to develop market leading unit economics.

Heaney continued, “We have the ideal strategic partners in Discerning Capital, the leading growth stage online sports betting and gaming investors in the market, to support us as we scale the next phase of our growth and product development. We will be leaning on their industry insights and expertise as we expand beyond Australia’s shores, and deliver on our mission to reimagine betting and entertainment for the next generation.”

“We have evaluated online sportsbook deals all around the world and we felt that Picklebet’s unique blend of in-house technology, in-house content arm, fast growth, and efficient user acquisition made it a highly compelling opportunity. We have been working closely with the team and have the utmost confidence in their ability to execute on their vision.” said Davis Catlin, Managing Partner at Discerning Capital.