France’s national lottery and gaming operator La Française des Jeux (FDJ) announced Friday it has signed an agreement to acquire the ZEturf group, which operates online horse-racing betting as well as online sports betting under the ZEbet brand.
Stéphane Pallez, Chairwoman and CEO of FDJ Group, spoke about this new deal and expressed her delight to have signed the agreement, as ZEturf group is “a key player in online horse-racing betting.”
“With this transaction and the launch of our poker range, which together strengthen our growth prospects, FDJ is optimally positioned to become a major player in the French market for online games open to competition, while remaining true to our recreational, responsible and redistributive gaming model,” she added.
Emmanuel de Rohan-Chabot, founder of ZEturf group, also commented: “Twelve years after online betting was opened up to the competition in France, the tie-up between the ZEturf group and FDJ Group’s online betting business marks a new stage in our development, bringing together the strengths of two complementary operators.”
He also pointed out that this is “an opportunity for our staff to bring their expertise to bear as part of a highly engaged, ambitious group and to benefit from the synergies created by this tie-up.”
This transaction puts the ZEturf group’s value at EUR 175 million ($181 million). Additional consideration may be paid depending on performance in 2023. The transaction will be accretive for the contribution margin of FDJ’s Sports Betting & Online Gaming BU from 2024.
The transaction is expected to close in the second half of 2023, once the conditions precedent have been met, including approval by the French Competition Authority, the parties said.
FDJ had first announced the start of exclusive negotiations to acquire ZEturf group in September, as a part of a strategy to bolster its presence in the French online gaming market. The takeover intends to cover areas where the company does not yet operate, namely horse racing betting and poker.
Founded in 2001, ZEturf group operates in the online horse race betting market and in the online sports betting market under the ZEbet brand. The firm has around 100 employees and recorded nearly €800 million ($798.5 million) in bets in 2021, including more than €100 million ($99.8 million) in B2B bets, added FDJ.