EveryMatrix Acquires FSB in All-Cash Deal

EveryMatrix has acquired FSB in an all-cash deal that aims to enhance its OddsMatrix platform with FSB’s comprehensive end-to-end turnkey solutions, including player account management software and horse racing products. This acquisition is anticipated to foster immediate revenue growth and synergies across both companies, according to EveryMatrix. Chief Executive Ebbe Groes described the acquisition as the company’s most ambitious to date, both in terms of value and complexity. He noted that this acquisition supports EveryMatrix’s strategy for long-term growth by expanding into regulated markets such as the UK, Ireland, and Africa, where many of FSB’s clients are based. Groes added that the deal will help diversify revenue streams and improve customer offerings by transitioning them to a high-performing product known for delivering exceptional results. To enhance FSB’s service, EveryMatrix will integrate critical FSB features into its OddsMatrix suite, which boasts a strong horse racing product. Additionally, existing OddsMatrix offerings, including sportsbook and odds feeds, will be available to FSB clients, allowing access to a range of modular products, including casino games and payment solutions. In 2023, OddsMatrix provided complex turnkey solutions to significant operators, including Bet-at-home and the online brand TippmixPro of the Hungarian national lottery company (SZRT). Bet-at-home implemented the complete EveryMatrix technology stack in Germany in October 2023, following a large-scale migration of millions of players from its MGA-licensed operation earlier in February. FSB, founded in 2007 by Sam Lawrence and David McDowell, appointed Adam Smith as CEO in March 2023, after McDowell stepped down from the role in December 2022. Smith remarked on the deal, stating, “FSB has achieved a lot over the last 18-20 months including expansion into new markets and launching innovative propositions. Joining together with EveryMatrix represents another major milestone for FSB. We are delighted and excited by the new opportunities this deal could create, through the sharing of our unique capabilities as well as accelerating the growth of FSB’s existing partners.” In the first quarter of 2023, EveryMatrix reported a record net revenue of €39 million (£33.5 million/$42.0 million), a 66% increase compared to the previous year. Its EBITDA margin also reached a record high of 57% during this period, up from 45% in Q1 2023, attributed to successful client launches, improved sports trading margins, and ongoing growth in the casino segment. OddsMatrix saw its gross gaming revenue quadruple year-on-year to €96 million, with sports turnover soaring by 30.9% to €1.29 billion and sports net revenue rising by 77.9% to €10.5 million.