Anyone who glances at the news knows that the legal gambling industry is hot right now.
In 2023, it was estimated that sports betting brought in approximately $10 billion in the United States alone. Financial analysts estimate that the market will grow to become a $45 billion business in the United States “when the market is mature”. The global industry is set to grow at a greater rate with projections up to $97 billion USD in 2024. This growth industry is absolutely ablaze and projected to keep growing in the coming years.
The question many investors are asking themselves is which companies to pursue in the industry and would be prime for an investment or M&A target.
There are a number of related companies that support the legal betting industry and help the industry participants operate from behind the scenes. These companies provide smooth operations, compliance with any regulations and a fantastic user experience.
Some of the spaces that could be targeted for deal activity include the following niche industries:
- Payment process solutions
- Odds makers and data providers
- Regulatory compliance and security
- Customer acquisition
- Customer support solutions
It’s a huge industry, but here are a few of the players you’ll want to watch in the coming months. Who are the major names?
In the payment process solutions space, some of the biggest public names include Paysafe, Neteller and Skrill.
For a sense of what a booming industry these niche spaces are right now, here’s a look at the comparables for Paysafe, Neteller and Skrill.
Paysafe comparables:
Neteller comparables (parent company is Paysafe):
Skrill comparables:
For middle market investors, there are also a number of very attractive investment alternatives. The most valuable information is the identification of the private companies who may be open to investments or M&A activity.
In the payment process solutions space, our platform uncovered hundreds of companies, but found the following private companies of particular interest.
Moving on to the odds makers and data providers, once again the biggest names are public companies. A couple prominent names include the companies Genius Sports and SportRadar.
To get a sense of these companies’ value as well as their competitors, it’s always helpful to look at their comparables.
Genius Sports comparables:
Sportradar comparables:
For savvy investors looking for odds makers and data providers in the private space we did a search on our Finder platform and uncovered hundreds of potential investment opportunities. Some of the most prominent names to watch include Stats Perform, Thuuz Inc, SharpRank and Simplebet.
Of course, these are just two of the niche industries we highlighted from the longer list above.
If you’re interested in diving in deeper and looking into all of the information available including contact information, upcoming events, company news, companies expected to need funding, potential M&A activity and much more, we’d be happy to discuss the details.
Contact us to learn more about our AI products, powerful deal-sourcing capabilities and the information we can help uncover for both mainstream and highly niche industries.
