NTD Contract Amended to Increase Max Revenue Cap by $20M
Sydney, Aug 16, 2022 AEST (ABN Newswire) - BetMakers Technology Group Ltd (
ASX:BET) (TPBTF:OTCMKTS) is pleased to announce that a wholly-owned subsidiary of the Company, OM Apps Pty Ltd ("OM Apps"), has entered into a deed of variation to amend the previously announced contract (the "Agreement") with NTD Pty Limited ("NTD") to provide technology and services to the new NTD wagering venture which is scheduled to launch in Australia this year.
NTD has agreed to purchase certain assets pertaining to the wagering business owned and operated by O'Shea Bookmaking Pty Ltd, (trading as "TexBet") with BetMakers' support, subject to certain terms and conditions. TexBet is a long-standing and highly valued BetMakers SaaS platform customer.
Under the terms of the arrangements:
- The cap on the Annual Fee payable by NTD to OM Apps under the Agreement will be increased by an incremental $2 million per annum for each year during the initial 10 year term and any extended term of the Agreement (in addition to any other applicable increase) - providing a maximum cap increase of $20 million over 10 years. There will be no percentage increase applied to the additional $2 million;
- Net Gaming Revenue ("NGR") generated from the TexBet customer base will form part of the NGR used to calculate the Annual Fee payable to BetMakers under the Agreement;
- Effective from completion of the sale of TexBet, BetMakers shall receive ownership and IP rights for the customised betting platform technology currently owned by TexBet ("TexBet Platform");
- BetMakers will support the migration of the TexBet customer base to the NTD platform including providing supervisory support in relation to the trading until the TexBet customer base is fully migrated to the NTD platform; and
- BetMakers will contribute a total of $2.5 million over two tranches towards the purchase of TexBet by NTD.
About Betmakers Technology Group Ltd
Betmakers Technology Group Ltd (ASX:BET) (OTCMKTS:TPBTF) is an ASX-listed holding company and a global provider of online wagering products and services to both wholesale and retail markets through its various wholly owned subsidiaries. The Company operates a retail wagering business, offering consumers wagering, fantasy tournament and content products and services.
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