Affiliate media group Better Collective has closed a directed share issue worth SEK1.50bn (£127.9m/€147.9m/$180.3m), which the affiliate said would provide the flexibility to help it continue to pursue acquisitions.
Better Collective issued a total of 6,880,734 shares at a price of SEK218 each, saying that the offering was “significantly oversubscribed” due to high demand from institutional and other professional investors.
The issue will see the total number of outstanding shares and votes in the business increase from 46,984,072 to 53,864,806, while its share capital will also rise from €469,841. to €538,648.06.
Better Collective said investors who subscribed for the shares should receive their shares by 31 May.
“I am pleased to see the high level of support of our company from both existing as well as new shareholders,” Better Collective co-founder and chief executive Jesper Søgaard said.
“With the proceeds from this transaction, we maintain a flexible capital structure in order to be able to act on future strategic opportunities.”
Søgaard also said that interest in the issue demonstrated a positive response to its recent agreement to acquire US sports media business the Action Network for $240.0m, in the largest deal of its kind in the affiliate’s history.
“We’re very excited about the transaction and the market’s receptiveness of the acquisition of Action Network, which underpins our strategy to capitalise on the unprecedented market opportunity in the US within sports betting affiliation,” Søgaard said.
The affiliate’s board added that Better Collective “will be well positioned to continue to execute on its growth-oriented strategy – including through additional acquisitions beyond Action” because of the flexibility provided by the share issue.
Better Collective this month also reported a 77% increase in revenue for its first quarter as revenue from paid media skyrocketed following the acquisition of Atemi. Revenue came to €38.8m, an increase of 85.6% compared to the first quarter of 2021.
