FansUnite agrees to sell Chameleon platform to Betr

The fast-growing sports betting media brand in the US founded by Jake Paul and Joey Levy, Betr, announced a new strategic acquisition. The company confirmed earlier this week that it acquired the Chameleon platform from FansUnite Entertainment in a deal for a total consideration of $7,448,000. Under the acquisition, Betr has taken over the platform's source code, intellectual property, documentation, as well as physical assets.

A breakdown of the $7.4 million acquisition cost reveals separate tranches of $2,234,400 in cash and $1,489,600 payable in equity at closing. In addition, some $2,234,400 in cash and $1,489,600 in equity is payable over the next year after the closing of the transaction, subject to "the achievement of certain performance milestones," a statement reveals.

The new acquisition marks a strategic move for Betr as it enables the company to tap into Chameleon's Player Account Management (PAM), sports betting, as well as a casino management solution. The company will also benefit from the platform's full suite of gaming solutions and its Gaming Labs International (GLI) certification in different US jurisdictions.

By integrating Chameleon's PAM, online casino technology and sports betting engine, Betr will strengthen its Betr Gaming operations. The integration of the unique technology is expected to help the company continue to grow and at the same time deliver long-term benefits.

Scott Burton, FansUnite's CEO, shared his excitement about the latest announcement saying: "With this transaction, we have again proven both our commitment and our ability to put FansUnite on the path to profitability." In conclusion, he said: "Additionally, we are pleased to continue to benefit from the tremendous potential we see in Betr through our equity stake in the company."

Joey Levy, Betr's CEO and founder, was similarly excited and said: "We are thrilled to acquire the Chameleon platform from FansUnite and to also welcome the engineering team that has been working on this platform for several years to the Betr family." The company's CEO added: "This is a transformational transaction for Betr that enables Betr Gaming to fully control our ability to execute against our core strategy, while also capturing a material amount of gross margin for our business model."

Speaking about Betr's current product experience, Levy said that the internal team refers to it as the "V0 of the Betr product experience." He said that the company launched this "beta product" to help establish its fan base and collect valuable feedback from the users.

At the same time, Levy acknowledged that Betr has a clear vision to deliver a product that is intuitive, simple, entertaining and at the same time benefits bettors. Moreover, the CEO noted that the company seeks to deliver a product that stands out from the competition.

Referring to the acquisition of Chameleon, Levy said that the platform's technology will help Betr develop its V1 product experience. He predicted that the aforementioned product is expected to be launched at some point in H1, 2024.

"Finally, we are thrilled to have been able to execute this acquisition in a cost-effective manner consistent with how we have rolled out Betr Gaming and Betr Media from both market access and talent acquisition standpoints to date — by entering into strategic transactions that feature an equity component to align incentives with our partners who believe in Betr while helping Betr preserve cash," said Levy in conclusion.

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