FansUnite began trading on the Toronto Stock Exchange today in a major step forward for the up-and-coming online sports betting operator. The Vancouver-based company, previously listed on the Canadian Securities Exchange, will continue to trade under its existing stock symbol "FANS."
"Uplisting to the TSX from the Canadian Securities Exchange is an accomplishment for any public issuer, as evidenced by the number of companies that successfully make the transition," said FansUnite President Darius Eghdami in comments he made last week to The Market Herald.
"By trading on a larger exchange we are in a position to have greater reach to domestic and international institutional investors that are looking to add an established gaming operator to their portfolio."
The jump to the TSX will not require FansUnite shareholders to exchange their share certificates, however, or take any other action in connection with the listing. Meanwhile, the company will continue to trade on the American OTCQX market, under the symbol "FUNFF."
Despite steep declines in the TSX, which have accompanied similar major losses on American and European stock markets in 2022, FansUnite is hoping the added visibility that comes with the new listing will give it added credibility with investors and enable it to raise more capital down the road.
FansUnite is a company focused on technology related to its proprietary iGaming online gaming platform, Chameleon, which operates a full suite of sports and esports gaming solutions geared toward the next generation of sports bettors users and casino players.
Apart from providing B2B technology solutions, FansUnite operates multiple B2C brands, such as Scottish sportsbook McBookie and Brazilian eSportsbook VamosGG, and produces casino-style slot games under its Askott Games subsidiary, while also serving as the parent company of North American-focused American Affiliate.
Impressive growth in Q1 2022
The TSX listing comes on the heels of impressive revenue growth for the company. On May 27, FansUnite reported its first cash flow positive quarter in its history in Q1 2022, when it set a new quarterly revenue record of $9.7 million for the first three months of the year — which represented an 804% increase from Q1 2021 — while revenues jumped by 224% from Q4 2021 to Q1 2022.
"FansUnite’s strong financial results and continued expansion reflect our position as a power player in the global online gaming industry," said CEO Scott Burton in a corporate conference call accompanying the release of the Q1 earnings report. "We look forward to continuing our momentum through 2022 as we form new partnerships, launch new game titles, and expand into more emerging gaming markets."
Much of these gains came from McBookie, FansUnite's 100%-owned Scottish subsidiary that it acquired in 2020, which recorded its best financial quarter ever — profits derived mainly from Scotland's deep run in World Cup qualifying and followed impressive 2021 year-over-year earnings growth of 54%.
Money Line Sports boards FansUnite's Chameleon platform
Previously, on January 31, 2022, FansUnite took another important step in its expansion programme with the launch of Money Line Sports (an Ontario-based SaaS and gaming technology company) and its online betting platform, moneylinesportsbook.com, on FansUnite’s Chameleon Platform in European and overseas markets.
"Through their extensive reach in a range of betting jurisdictions, Money Line will be able to enter new markets and deliver a complete array of gaming solutions to a large audience," said Burton on the occasion of the launch.
FansUnite came into being in its present form just over two years ago — in June 2020 — when FansUnite Entertainment, led by its CEO Darius Eghdami, acquired Askott Entertainment, the Vancouver-based gaming technology owned by his friend, Scott Burton, a pioneer in the local gaming industry.
The new entity fused the online gaming operations of Eghdami's outfit with the technology platforms being developed by Burton's Askott to create a fully integrated B2B gaming tech company.
Canadian shares of FansUnite are down approximately 70% over the past year, and closed at $0.255 apiece in Toronto on Tuesday.