LeoVegas, a prominent player in the live casino, online casino, and sports betting sectors, is all set to significantly enhance its footprint in the U.S. market. The company has recently announced its acquisition of Tipico Group Ltd., the online casino and sportsbook technology and product platform - a notable move as Tipico winds down its operations in the US. This strategic deal also includes the acquisition of Tipico’s US technology, trading, and management teams, encompassing regions across the US, Europe, and Colombia.

A strategic scaling back by Tipico

Based in Stockholm and operating out of Malta, LeoVegas is actually an affiliate of MGM Resorts International. At the moment, the firm manages nine brands across ten jurisdictions. Meanwhile, Tipico is the leading sports betting operator in Germany with headquarters in Malta, and it has recently appointed its new Chief Executive Officer, Axel Hefer.

At the same time, Gary Fritz, MGM Resorts International Interactive president, emphasized the significance of this acquisition in a statement. He mentioned that the acquisition of Tipico's award-winning platform in the US marks a substantial milestone and strategy in MGM Resorts' global digital gaming arm, and it allows them to operate an exclusive sports betting platform. In addition, Fritz added that the deal provides MGM Resorts with full control over its whole tech ecosystem and praised the integration of Tipico's experienced US team, which is well-known for their superior pricing and product development and capabilities.

Building on prior investments

This acquisition follows LeoVegas' substantial investment in 2023, when, as you may already be aware, it acquired the game developer Push Gaming. The current deal with Tipico is seen as another pivotal step in LeoVegas' plans of international growth and expansion. By integrating Tipico's platform, LeoVegas aims to operate and manage a customized and branded sportsbook that is spread across all its international brands and markets.

Adrian Vella, the Chief Executive Officer of Tipico US, highlighted the company's achievements, stating, "Tipico has proven in one of the most competitive markets in the world that we can build proprietary technological solutions while running sophisticated lean operations."

On the other hand, Gustaf Hagman, the CEO of the LeoVegas Group, echoed this sentiment, noting that at LeoVegas Group, they believe in controlling their own technical destiny by having the best tech teams working in-house. Hagman continues, "Last year, we acquired leading game developer Push Gaming. Now, we are taking further steps and investing to control more parts of the iGaming technology ecosystem."

LeoVegas and Tipico looking ahead amidst stronger ties

The transaction between LeoVegas and Tipico is slated for completion in the third quarter of 2024. This acquisition is expected to further strengthen LeoVegas' position in the global digital gaming market, enhancing its technological capabilities and further expanding its market reach. With this strategic move, LeoVegas is ready to leverage Tipico's advanced platform and expert team to deliver superior gaming experiences across its international portfolio.

It can be said that LeoVegas' continued investments and strategic acquisitions underscore its commitment to innovation and leadership in the highly competitive iGaming world. As the company integrates Tipico's assets and expertise, its goal is to deliver enhanced value and experience to its customers while driving growth in the global market.