Internet gaming software specialist GAN has raised £7.5m to target potential opportunities arising from the decision last week to repeal PASPA. The company said it plans to use the net proceeds of the subscription to substantially increase its software engineering resources to better serve existing major US clients services’ such as the WinStar.com Overseas Internet Casino and launch new US clients and services in stateside.
Proceeds from the subscription will also be used to repay in full the £2,001,483 nine per cent convertible unsecured loan notes 2022 issued by GAN in April 2017, in order to strengthen its balance sheet. The subscription is also conditional upon the receipt of approval by shareholders in its general meeting and upon admission of the subscription shares to trading on AIM and the ESM. Notice convening the general meeting containing full details of the subscription and all applicable time periods will be sent to shareholders and announced as soon as is practicable said GAN.
Dermot Smurfit, CEO of GAN commented: “This strategic capital raising exercise positions GAN to consolidate its US market position and capture substantial incremental revenue opportunities available resulting from both Internet gaming and sports betting regulation in New Jersey, Pennsylvania and other US States expected to regulate Internet gambling in the near future.”