South African casino operator, Sun International, has made a move to enter the African online gaming market, through its proposed acquisition of Purple Gaming.
The acquisition would include the Powerbet sports betting platform, a bookmaker licensed in Tanzania, and Voltbet.com, a fixed odds online sportsbook.
Sun International has offered R30 million in cash and has offered to acquire 100 percent of the issued share capital and shareholder loan accounts of the company. Purple Gaming is a division of Purple Capital.
Sun International Looks to Online Gambling Market
The proposed acquisition by Sun International will be a significant move into the online gaming market in Africa. Online sports betting, in particular, is a fast-growing industry in the online gambling market and Sun International has expressed its belief that their current business will be able to complement business in online sports betting.
”To this end, the group is pleased to announce its proposed acquisition of Powerbet Gaming (Pty) Limited which operates Voltbet.com,” announced the company. “Powerbet provides the group with the ideal platform to accelerate the group’s entry into the online gaming market.”
Sun International to Expand Voltbet
The acquisition deal will put Sun International in control of Purple Capital Gaming which holds a bookmaker license in Tanzania, Powerbet Gaming and its online fixed odds sports betting operation, Voltbet.com. Voltbet.com is licensed by the Western Cape Racing and Gambling Board.
”Sun International is ideally positioned to take Voltbet.com through its next growth phase,” commented the company.
The bookmaker in Tanzania has said that Voltbet.com is fast expanding in the South African gambling industry and it is not able to offer the capital and distribution capacity that it requires. Following the acquisition, Purple Capital will be able to restructure its core business to concentrate on its online brokerage company, GT247.com and Emperor Asset Management
The board of directors at Purple Capital have approved the acquisition offer; however a number of conditions need to first be met for the deal to go through. Sun International will perform a review exercise, regulatory approvals need to be met and the board at Sun International needs to offer final approval for the acquisition.
Sun International owns around forty properties around Africa, including the famous Sun City Resort in South Africa, Zambezi Sun in Zambia, Maseru Sun in Lesotho, Lugogo Sun in Swaziland and Kalahari Sands in Namibia. It also owns the Monticello Grand Casino in Chile.