NorthStar Gaming Holdings Inc. is pleased to declare that its subsidiary, NorthStar Gaming Inc., has successfully established a partnership with Playtech Software Limited. This collaboration aims to enhance the marketing and player acquisition strategy of NorthStar Ontario by incorporating Playtech’s financial support towards specific marketing initiatives implemented by NorthStar Ontario.
NorthStar Ontario is the owner and operator of NorthStar Bets, a locally-based casino and sportsbook gaming platform that offers players an exceptional user experience. The platform features a sportsbook that provides up-to-date news, statistics, analysis, and scores within the betting environment, as well as a wide selection of popular online casino games. Additionally, it offers managed services to Spreads.ca.
Terms of the Agreement
Via the agreement between the two sides, Playtech has committed to an initial contribution of up to CA$1.5 million, with the potential to increase it to CA$4 million. This agreed funding will be utilized to bolster NorthStar Ontario’s player acquisition strategy, starting from the latter half of 2023 and possibly extending to the first quarter of 2024.
It is believed that the contribution by the gaming technology provider, the operator will see an increase in its Ontario marketing budget for the 2023 balance. It is also projected that the funding will accelerate the brand’s player acquisition during the key fourth quarter of 2023. This is an important period as many pro sports leagues commence their regular seasons.
Michael Moskowitz, CEO and founding partner of NorthStar, is excited about the agreed investment, which will strengthen their strategic partnership and drive immediate growth and expansion of the NorthStar Bets brand in Ontario. Mr. Moskowitz also values the provider’s global expertise in player acquisition and retention, which will boost the operator’s business and user base.
It should be mentioned that this latest transaction will be added to the previously announced CA$12.25 million equity investment from Playtech. This was announced in February and it was in relation to NorthStar’s reverse takeover of Baden Resources. It was part of its strategic expansion across regulated markets.
With the completion of the reverse takeover, the debenture will convert into units of the Ontario brand consisting of one common share, one-half warrant with an exercise price of CA$0.85 and with each CA$0.50 of the outstanding principal amount converted into one unit. The operator warrants will be in play for a term of five years from the date of conversion.
Selecting Data Partner
In September 2022, NorthStar Gaming announced another important partnership to bolster its brand in Ontario but this time it was with Genius Sports. Via the deal, the latter became an official data partner of the operator. It also integrated Genius Sports’ PreMatch, LiveData and LiveTrading solutions into the brand’s online gaming platform.
Source: “NorthStar Gaming Announces Strategic Marketing Contribution from Playtech Software Limited” NorthStar Gaming, June 26, 2023