Rivalry Limited, the leading online sports betting platform, plans to go public by getting listed on the Toronto Stock Exchange by the month of October 2021.
In early June, the company successfully amassed $22 million from Canada’s Eight Capital and Cormark Securities Inc.
As per terms, the raised money will be in escrow for 120 days and will be given to the company if only it lists shares during the same period, or else it will be given back to investors.
This most recent funding has come after the company raised finance months back. The total financing was $21.5 million, increasing the value of the company to $150 million.
Rivalry gets around 85% of the revenue and traffic from esports, majorly from events that involve League of Legends, Counter-Strike, and Dota 2. The rest, 15%, is from the sports betting process. People mostly prefer playing soccer and basketball on the website. In May, the company introduced an interactive casino game called Rushlane.
The company’s gambling license is regulated from the Isle of Man, allowing players to take bets from different parts of the world. Presently, the company has around 450,000 active users, and more than half of its users are under 30.
Although the company has its base in Toronto, it has a huge market in Brazil, Mexico, Peru, Russia, Ukraine, and the Philippines.
However, the license does not let the company to function in 30 countries, and this includes the US. As a result, the company is not considering applying for the US license anytime soon. But the company plans to set a tie-up with regulated companies in the US. It already has a successful deal running with Penn National Gaming Inc, signed two years back.
According to Steven Salz, co-founder of Rivalry, the company will not be going to the US with an independent license. A vast market attracts the company, and the US will be a long player for the company. However, Rivalry is hoping to start its business in Canada in the next coming months.
In the coming weeks, Canadian authorities are expected to pass the rule in favor of single-game sports betting, which will enable the province to set its legislation just like the US. After this, Rivalry will file for the license in the country.