Global digital media powerhouse XLMedia has executed a strategic divestiture, selling three of the Group’s esteemed European Gaming domains and their corresponding websites:
This astute move has yielded an upfront cash payment of $4 million, enhancing the Group’s financial flexibility. Remarkably, this transaction underscores a robust valuation, amounting to 4.7 times the revenue generated by the assets.
During the fiscal year ending on December 31, 2022, these assets contributed $840,000 in revenue, constituting 6% of the Group’s total European Casino revenue, with an impressive gross profit of nearly $750,000.
In the dynamic landscape of European casinos, a sector that collectively generated $14.3 million in 2022, XLMedia upholds its gaming division in Sweden and other European markets.
Notably, the Group’s European Gaming business surpasses management expectations, exhibiting strong performance. The proceeds from this strategic property sale to Beach Services bolster the Group’s working capital, empowering it to make strategic investments.
These investments are poised to further XLMedia’s footprint in the North American sports and gaming arena while fortifying its European portfolio. Simultaneously, XLMedia has divested $1.3 million worth of personal finance affiliate sites to MPD Media, streamlining its focus on the high-potential gaming and sports betting segments.
The Group is unwavering in its commitment to expanding its presence in the North American market to maximize earnings. Furthermore, XLMedia recently extended its partnership with Schneps Media. The collaborative agreement, initially spanning two years, has been extended to three years.
In this arrangement, XLMedia assumes responsibility for nurturing critical relationships with licensed sportsbooks and supplying premium sports betting content. The partnership also entails the creation of an educational iGaming content platform on amNY.com, reaffirming XLMedia’s dedication to fostering a comprehensive and engaging gaming ecosystem.