Playtech, a leading supplier of immersive live casino games, has had a long and prosperous relationship with NorthStar Gaming. These iGaming companies will extend their partnership even further through a new strategy that will improve the operator's player acquisition and retention plans.
This year, Playtech allocated C$12.25 million to the Ontario-based online live casino and sportsbook operator, and now the company will receive additional funding to boost its “rapid growth and expansion.”
Playtech is beginning with an initial contribution of C$1.5 million with the potential to increase the funding to C$4 million. The objective is to assist the operator's purchasing power through the rest of 2023 and into the first quarter of next year.
NorthStar Gaming will take advantage of the return of major sporting events in Canada by increasing the marketing budget of the gaming group. This will accelerate the process of attracting and retaining players in the latter portion of the year. The gambling tech company will receive reimbursement through a section of the revenue generated from participating projects.
Commenting on the news, Michael Moskowitz, the CEO and founding partner of NorthStar, remarked:
“This investment by Playtech further strengthens our strategic partnership and will immediately fuel growth and further expansion of the NorthStar Bets brand across Ontario. The global expertise in player acquisition and retention that Playtech provides, further enhances the growth of our business and active user base.”
Playtech and NorthStar Gaming have a cordial relationship spanning over a decade. Back in January 2022, the companies signed a deal to avail Playtech's casino games and IMS platform to gamblers in Ontario, Canada.
Fast forward to February 2023, Playtech announced an investment plan of C$12.25 million for NorthStar Gaming and extended the existing commercial agreement with the operator. This funding facilitated NorthStar Gaming's reverse takeover of Baden Resources in March.
Following the takeover, the group secured ownership of roughly 16% of the outstanding common shares in the company. In addition, NorthStar Gaming possesses a warrant that it can use to up its stake to more than 20%. At the time, NorthStar stated its intention to invest in new technologies for its gaming platform while seeking to expand its reach through promotional campaigns.