Golden Matrix Completes $300 Million Acquisition of MeridianBet

Golden Matrix (GMGI) has successfully finalized its acquisition of MeridianBet Group, estimated at $300 million, marking a significant milestone for the company's growth strategy.

GMGI shareholders endorsed the acquisition in March, following the announcement of the merger plan in January 2023.

This strategic move aimed to enhance GMGI's access to regulated B2C markets, with expectations of closing the deal in the first half of 2023.

The Loev Law Firm for Golden Matrix and Howard & Howard for MeridianBet provided legal counsel for the transaction.

The newly combined entity will continue trading on the Nasdaq Capital Market under the ticker symbol GMGI.

Brian Goodman, CEO of GMGI, expressed confidence in the company's future prospects, anticipating substantial growth in revenues and profitability.

He stated, "This is a momentous occasion...we are now well-positioned to continue our growth trajectory and deliver incremental value to all our stakeholders."

The acquisition process, which lasted over a year, underwent several amendments.

Initially, GMGI's cash payment at closing was reduced from $50.0 million to $30.0 million, with an additional $20.0 million in non-contingent cash consideration post-close.

Stock consideration was set at $3 per share, with approximately 82.1 million common stock shares issued at the initial closing.

Further adjustments were made in October 2023, extending the deal closure to Q1 2024.

Additionally, GMGI was granted permission to utilize up to $20.0 million of MeridianBet's cash in hand to fulfill part of the $30.0 million due at closing.

The completion of the acquisition follows GMGI's record-breaking first-quarter results, which are a testament to the company's strong performance and potential for growth.

Revenue reached $11.8 million, a 9.3% year-on-year increase.

Adjusted EBITDA surged to $1.2 million, up by 33.8%, with B2B and B2C revenue totalling $4.6 million and $7.2 million, respectively.