The deal between Betsafe and Betsson, which was completed earlier this year for €34 million in cash and shares. Now that Betsafe has reached the key performance targets for the year, Swedish based Betsson AB has agreed to pay the former owners of Betsafe an additional €15 million.
A Betsson spokesman earlier this week said, “Betsafe has reached the targets in 2011 for the additional purchase price amounting to €15 million. If conditions are further fulfilled, the remaining part of the additional purchase price, up to €12.5 million, is estimated to be paid up until the end of the first quarter of 2012."
Betsafe had increased its revenues for 2010 by 119% year over year to €25.9 million. When the deal between Betsson and Betsafe was finalized in June, Betsson agreed to put up €27.5 million in cash and shares if certain criteria were met.
To pay off on its agreement, Betsson issued 1,056,403 class B shares valued at €14.55 each to the sellers of Betsafe. Current stock volume for Betsson is 41,394,392.