Lottery broker and information portal Lottery.com will go public on the Nasdaq exchange through a reverse merger with special purpose acquisition company Trident Acquisition Group which has signed a binding letter of intent to acquire the broker.
Lottery.com – which allows players to buy tickets for lotteries such as the US’s Mega Millions and Powerball while also providing historical lottery data – is currently live in Texas and nine other US states.
It plans to expand into more than 20, while it is authorised sell Powerball tickets in 148 different countries. From 2016 to 2019, the business has seen sales grow 279%.
“Lottery.com has developed an innovative platform that is revolutionizing the lottery industry and bringing it into the digital age,” Marat Rosenberg, chairman of Trident, said. “The company has developed a world-class safe and secure mobile lottery platform that provides users the ability to play official lottery games right from their phone.
“With a track record of substantial revenue growth and user base expansion in a relatively short period of time, we believe that Lottery.com has the potential to cement its place as the leading online platform to play the lottery worldwide.”
The team behind Trident had previously brought blockchain-focused fintech business Triterras public through another special purpose acquisition company named Netfin Acquisition Corp.
“As an experienced SPAC team with a track record in the blockchain-enabled online platform space, we look forward to introducing the story of Lottery.com to the public market,” Rosenberg said.
Lottery.com founder and chief executive Tony DiMatteo said the funding comes at a perfect time to allow the business to take advantage of the greater number of people playing lotteries online.
“Since the inception of Lottery.com, it was our aim to cooperatively transform a legacy industry with innovative technologies and capture significant market share of a large population of smartphone-using potential customers,” he said.
“We have already been successful in our mission, accelerating revenue growth each year, expanding our footprint and making the lottery much more accessible to modern consumers through an easy-to-use and secure mobile application and core technology.
“As we look to further capitalize on current trends with more consumers shopping from home and interacting through mobile applications than ever before, we believe the business combination with Trident will provide us ample capital to accelerate our growth and enter our next stage as a public company.”
The deal is expected to close in the first quarter of 2021.