Rivalry, an international sports betting and media company will receive $7.34 million (converted to USD) in funding through a new financing round. To that end, the company will issue up to 6,666,666 subordinate voting shares at a price of $1.10 each.
The funding round will be led by Pinnacle and will feature a variety of tech and payment shareholders. Rivalry will use the proceeds to speed up its operational objectives and pursue further strategic growth opportunities.
The funding round follows 2+ years of record-breaking financial results for the company. Rivalry’s progress has seen it average double-digit month-on-month revenue growth. The company targets mainly Millennial and Gen Z customers, who make up 97% of its users. The company’s appeal among younger audiences can be attributed to its cutting-edge esports betting products.
The funding round and the issuing of extra shares, Rivalry said, are still subject to corporate and regulatory approvals. Rivalry added that securities issued in connection with the offering will be subject to a hold period of 4 months and a day.
Rivalry Is Glad to Have Pinnacle by Its Side
Steven Salz, Rivalry’s co-founder and chief executive officer, commented on the funding round. He noted that the participation of so many stakeholders in the round represents a “vote of confidence” in Rivalry’s unique team, market strategy and ability to evolve.
Salz also noted that his company’s industry-leading platform is built around a generational opportunity to interact with and engage a new generation of bettors and sports fans with exciting content.
We are growing rapidly with a successful strategy in place and talented team behind us, and with this funding we anticipate both continuing our pace of growth and our trend toward profitability.
Steven Salz, co-founder & CEO, Rivalry
Speaking of Rivalry’s relationship with Pinnacle, Salz said that the latter company’s esports and risk management solutions have proven integral to the Rivalry experience. He thanked Pinnacle for its commitment to supporting the financing round, saying that it will add a layer of credibility to Rivalry’s approach.
Pinnacle’s chief executive officer, Paris Smith, also spoke on the matter, saying that his company is always on the lookout for partners that share its values. He said that this is exactly what led him and his team to Rivalry.
The company’s long-time focus on product innovation, brand equity, and next-generation consumers is disrupting traditional ways of thinking in the industry and blazing a trail for industry economics that were previously not thought possible.
Paris Smith, CEO, Pinnacle
Smith said that Pinnacle has a front-row seat to follow Rivalry’s “incredible growth.” He concluded that he is confident in the latter company’s trajectory.