B90 signs affiliate marketing deal with Nordic Group

The AIM-traded firm described Nordic Group as a “leading” marketing and online advertising partner, with a focus on Latin America and the Nordics.

It said the affiliate deal covered all current and future Bet90 brands and subsidiaries, with Nordic set to start promotional activities “immediately”.

Nordic has an “established and extensive” marketing network in various countries, B90 said, and used a mix of content including blogs and websites sharing tips and strategies, and reviews, as well as news and information about offerings, schemes and products, across a variety of online and social media.

It also employs “the latest” search engine optimisation (SEO) and digital promotion techniques.

B90 said it would pay Nordic an initial affiliate fee totalling €0.15m (£0.13m), which would be settled in new shares on 30 November.

The total number of new shares to be issued to satisfy the initial fee would be calculated based on the average closing mid-market price of B90's ordinary shares over the five dealing days ending on 30 November, rounded upwards to the nearest whole share, and on the then prevailing exchange rate.

Issue of the new shares would be conditional on Nordic generating a minimum of €75,000 in new revenue for the company by 30 November, with the option to amend the agreement and the number of new shares to be issued if that was not met.

Thereafter, the agreement would revert to a “typical affiliate deal”, with payment based on the amount of traffic and new customer revenue generated from Nordic's network.

Further share-based payments would fall due on 28 February, 31 May and 31 August 2022, converting the actual affiliate fee earned in excess of the first €0.15m into shares based on the average closing mid-market price over the five dealing days leading up to each of the payment dates.

The maximum amount that could be converted into equity was capped at €0.4m, with any amount above that to be settled in cash.

“As previously stated our strategy is to build our brand, customer and ultimately revenue base into new geographies, using a mix of both affiliates and direct marketing,” said executive chairman Paul Duffen.

“Nordic is a great affiliate partner for us in these territories, given it has an excellent established network.

“The agreement has been structured to mitigate risk and preserve initial cash outlay, whilst maximising potential future cash generation for the company and incentivising the affiliate.”

At 0800 BST, shares in B90 Holdings were flat at 12p.