In a significant turn of events, PlayUp, an Australian betting site, recently witnessed the collapse of its ambitious $500 million plans to list on Nasdaq, a premier global stock exchange. The company’s hopes of expanding its reach and tapping into the lucrative US market have been dashed.
PlayUp’s aspirations to list on Nasdaq stemmed from its desire to gain greater visibility, credibility, and access to global investors. A Nasdaq listing would have provided the company with a platform to raise substantial capital for its expansion plans, as well as attract institutional investors. This move was seen as a crucial step in PlayUp’s quest to position itself as a major player in the international online betting industry.
However, this plan has failed, and it is now the second near-miss for Daniel Simic, PlayUp’s chief executive, who also negotiated to sell PlayUp to FTX, Sam Bankman-Fried’s $US32 billion crypto empire. However, this deal also collapsed in November last year.
The Nasdaq setback was revealed earlier this year when IG Acquisition Corp, the company that was planning to acquire PlayUp ahead of the public listing, revealed that it was terminating the deal. The reason behind this termination was the fact that PlayUp failed to deliver its audited financial statement by October 2022. These statements were necessary for the listing to go through as planned in 2023.
Simic insists that the company did not deliver the financial information required because it became clear, very early on, that the deal was unlikely to go through. He states that he was aware that most of the IGAC’s $US350 million cash hoard was already spent by investors before their PlayUp deal had been even announced.
Meanwhile, Simic talks about PlayUp’s next goals, and he insists that the company is in talks with other SPACS about a future deal, as well as other gaming companies so that it will continue to target the US market effectively. There’s no doubt that PlayUp remains to be one of the top betting sites and it is also one of the best sites reviewed by aussiebet.com.
PlayUp also has its own cryptocurrency called PlayChip. The currency was initially designed for its fantasy platform in order to allow players in different countries to play using the same currency. However, it is now allowed to be used across its gambling platforms as well.
Simic’s journey with PlayUp started in 2016 when he bought its assets in order to grow PlayUp into a major participant in the online betting and fantasy sports industries. At the time, the business was in liquidation after using up $100 million in investment from renowned investors like the Turnbull family.
Additionally, former Telstra chairman Bob Mansfield, wealthy casino investor Bruce Mathieson, and cricketers Steve Waugh and Adam Gilchrist were creditors of the PlayUp owner who filed for bankruptcy. Nick Greiner, a former premier of NSW, served as the group’s leader.
While this setback poses challenges for PlayUp’s growth trajectory, it also serves as a lesson in the importance of understanding the concepts of timing and market conditions. The company must now regroup and explore alternative strategies to ensure its long-term success in the highly competitive online betting industry.
Disclaimer: The views and opinions expressed by the author should not be considered as financial advice. We do not give advice on financial products.