PointsBet (ASX:PBH) has secured a $94.16 million investment from SIG Sports Investment Corp, a member of the Susquehanna International Group (SIG).
The online sports betting business said SIG is headquartered in Pennsylvania, US and is one of the largest proprietary financial trading firms in the world.
Under the agreement, PointsBet will issue 38,750,000 shares to SIG Sports at $2.43 per share, which represents a 15 per cent premium compared to the 5-day volume weighted average price to last Friday.
The investment will represent 12.8 per cent of the company’s issued capital, with SIG Sports becoming PointsBet’s largest shareholder.
“We are delighted to pair up with a visionary investor which has committed ongoing support and is eminently qualified in analytical trading in financial markets, and now in sports,” said PointsBet’s chairman Brett Paton.
“The cultural alignment between both organisations is strong, and this investment will assist with expanding and growing our North American operations as we seek to lead in in-play betting and enhancing the overall customer experience.”
PointsBet said there is no change to its board as a result of the equity placement.
Meanwhile, PointsBet also announced that its subsidiary PointsBet Europe has entered into an exploratory agreement with Nellie Analytics, a member of SIG.
During the exploratory term, Nellie Analytics will provide PointsBet Europe with sports analytics and quantitative modelling services while the parties continue to develop the terms for additional services, with the intention of entering into a definitive long-term agreement.
Shares are trading 14.4 per cent higher at $2.46.