Sports data service Sportradar intends to go public through a special-purpose acquisition company at a valuation of $10 billion to $12 billion, according to sports business magazine Sportico.
A few months ago, $8 billion was considered a likely IPO valuation and three years ago, the sports data company was valued at $2.4 billion, Sportico reported.
As part of the process, Sportradar intends to raise $2 billion through private investment. It also may go public through a conventional IPO, though at a lower valuation, Sportico said.
Helping the valuation will be the company’s latest acquisition, of marketing personalization platform Fresh Eight.
Through the acquisition, Sportradar will strengthen its digital marketing services platform with a DCO personalization technology in both display and paid social, enabling sportsbook operators to fully optimize their media investments. The technology also allows sports-orientated publishers to control the integration of native and personalized sports betting content into their platforms.
The acquisition complements Sportradar’s existing ad platform, which provides targeted programmatic advertising capabilities to betting and gaming businesses.
Fresh Eight is a highly regarded technology provider in the global market and has made significant progress in the U.S., with both tier one operators and publishers. Current operator clients include FanDuel, Entain, William Hill and LeoVegas, as well as major sports publishers ESPN, CBS Viacom, NBC Sports and News UK.
“We have developed ads into a substantial business for Sportradar with its platform offering and a significant portfolio of sportsbook clients,” said Carsten Koerl, Sportradar Group CEO. “But the market doesn’t stand still, and we must continually innovate and grow. The acquisition of Fresh Eight will accelerate that growth, as we add this personalization technology to our marketing services offering.
Andrew Sharland, founder and CEO, Fresh Eight, said, “We founded the business with the ambition to substantially improve advertising efficiency and returns for the world’s leading gambling operators and media groups. Today we partner with some of the industry’s biggest brands in Europe and the US.
“Data is the core DNA of both companies with a shared vision of how intelligence and automation can transform marketing efforts in the betting and gaming vertical. The combination of Fresh Eight’s machine-decisioned personalization tools and Sportradar’s proprietary marketing technology and access to real time sports and pricing data presents customers with a compelling digital marketing offering. I’m looking forward to working with Sportradar.”
