In an update on several strategic initiatives, the group said it has successfully completed a $30m term loan with Beach Point Capital.

GAN, which owns B2C brand Coolbet and is a major B2B technology provider in North American gaming, also said it is poised for near-term opportunistic implementation of its previously announced $5m share repurchase authorisation following the public disclosure of its first-quarter results.

GAN also said it has recently begun the implementation of cost controls along with other strategic initiatives that are expected to accelerate adjusted EBITDA generation and improve profitability.

The group said that its actions reflect its commitment to driving growth, improving profitability, and maintaining a well-capitalised balance sheet.

Karen Flores, GAN’s chief financial officer, said: “Today’s announcement ensures that we have the capital available to drive improved shareholder returns going forward.

“The incremental flexibility provided by the term loan allows us to execute our balanced capital allocation plan centered around investing in our B2B offering, growing Coolbet and our B2C presence, and returning capital to shareholders during a time when we believe our share price undervalues the long-term opportunities we have ahead of us.

“We are simultaneously taking steps to accelerate our path to improved adjusted EBITDA generation and profitability as we are acutely focused on our margin profile and efficiency measures.”

GAN added that Coolbet’s sports margin for the first quarter 2022 improved sequentially and was within the historically normalised range of approximately 7%.

GAN acquired Vincent Group – the owner of Coolbet, which operates in Europe and Latin America – for $175.9m in January 2021. In 2021, GAN’s B2C segment revenue amounted to $78.6m, whereas in the previous year, it did not record any B2C revenue.

Original article: https://igamingbusiness.com/gan-targets-b2c-growth-after-agreeing-30m-loan/

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