Lottery.com reported that its financial position was bolstered thanks to a placement agent agreement with Univest Securities, a boutique full-service investment bank. Under this deal, the latter firm introduced Lottery.com to new investors. This resulted in an initial investment of a million dollars.
According to the official announcement, the funding was provided to Lottery.com in the form of convertible promissory notes and common stock purchase warrants. The company added that this investment comes in addition to the ongoing funding it receives from United Capital Investments Limited.
The money will serve as working capital and allow Lottery.com to restart its core operations, including the Nexus Gaming Platform, WinTogether and the LotteryLink affiliate program.
In addition to that, the money will allow Lottery.com to proceed with the acquisition of Nook Holdings Limited. Lottery.com described Nook as a “pioneering force in the sports, fitness and wellness industry” that offers multiple services, such as business setup support, insurance, VAT registration, and networking opportunities for sports entrepreneurs.
Lottery.com has revisited the terms of its purchased deal and completed the payment of the remainder of the deposit. The Nook acquisition is expected to be finalized by the end of Q1 2024, Lottery.com added. As a part of the acquisition Nook will be rebranded as Sports.com.
Lottery.com representatives commented on the new funding and the company’s ambition for the future. According to chief operating officer Gregory Potts, the new funding marks a “pivotal moment” for his company.
We are focusing on enhancing our technological infrastructure and customer experience, ensuring that as we restart operations, we do so with a system that is robust, scalable, and ready to meet the evolving needs of our users.
Gregory Potts, COO, Lottery.com
Potts added that the support the company receives is not just a financial boost but also a testament to the confidence investors have in Lottery.com.
Matthew McGahan, Lottery.com’s chief executive officer, also commented on the matter, saying that the funding is a reason for celebration. He said that the new investment will be crucial for the company’s 2024 vision.
This marks the beginning of an exciting phase where we recommence lottery operations and develop our sports.com brand. We will continue to lead the way in reinventing the lottery experience, leveraging state-of-the-art technology to offer innovative solutions.
Matthew McGahan, CEO, Lottery.com
McGahan added that the acquisition of Nook will allow his team to create a “true sports incubator” and leverage Lottery.com’s network to “foster growth” for companies and individuals alike.