Italian gaming group Gamenet announced this week that they've come to an agreement to purchase rival betting company Goldbet for a €265 million consideration.
The purchase will see Goldbet's 990 retail shops located in Italy, pushing Gamenet's total retail locations to 1,700 throughout Italy. The combined total will see Gamenet holding 21% market share for Italy's retail betting, along with 7% of online betting. Gamenet will pay €240 million up front as well as a potential €25 million in extra payments possible if financial goals are hit.
Italy recently passed a law that will prohibit gambling sponsorships and advertising next year, making the purchase a savvy move to build market share in order to offset potential losses due to lack of visibility.
The deal is being called a "dimensional Leap" for Gamenet by company CEO Guglielmo Angelozzi, while Goldbet CEO Paolo Bausano said that it represents "a major opportunity" for both.
The purchase is subject to regulatory approval and is expected to be completed later this year.