Golden Matrix eyes entry into Canadian online gambling market

Golden Matrix Group (GMGI) has outlined plans to expand operations to the US and Canada following a strong FY2022, positioning the gaming technology firm to expand its growth strategy.

Publishing its financial results for the fiscal year ended Oct 31, the global online gaming operator reported full year revenues of C$48.3m ($36m), an increase of 219% on FY2021 (C$15.2m/$11.3m).

Additionally, Golden Matrix further noted that its recent agreement to acquire MeridianBet Group, in a deal worth C$402.5m ($300m), will “significantly advance GMGI’s global footprint with numerous B2B and B2C product offerings on most continents”.

With the deal expected to be finalised in the first half of this year, Golden Matrix intends to “create the opportunity for us to participate in online gambling markets in the US and Canada”.

“This has been a highly constructive year for our rapidly growing company,” said CEO Brian Goodman. “We believe the increased costs incurred and investments made in our B2B and B2C platforms have positioned GMGI to sustain and even accelerate our strong revenue growth.

“To remain competitive in the worldwide gaming industry, we are continually upgrading our systems and gaming content offerings to support the needs of our millions of participants.”

Meanwhile, revenue contributions from GMGI’s B2B and B2C segments came in at C$19.9m ($14.8m) and C$28.4m ($21.2m), respectively. 

There were no contributions from the (RKings) B2C segment during FY2021, as GMGI had not acquired its 80% controlling ownership interest in RKings until the beginning of FY2022. At the end of the fiscal year, GMGI exercised its option and acquired the remaining 20% interest.

Goodman added: “The combined pro forma revenues of Golden Matrix and MeridianBet are expected to be greater than $100m for FY2022, with an Adjusted EBITDA estimated to be greater than $22m for the pro forma year ended Oct 31, 2022, making the combination financially appealing and earnings-accretive.”

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