FansUnite CEO Provides Year End Update



Vancouver, British Columbia–(Newsfile Corp. – December 20, 2023) – FansUnite Entertainment Inc. (TSX: FANS) (OTCQB: FUNFF) (“FansUnite” or the “Company”) is pleased to share the following corporate update from its CEO, Scott Burton.

As we approach the close of the fiscal year, I want to provide a comprehensive update on the performance and trajectory of FansUnite. Despite the widespread business and macro-economic challenges experienced by many businesses this year, FansUnite has remained resilient and has taken the necessary steps to ensure the company’s future.

 Strategic Response to Challenges Through Successful Restructuring

 In response to the market challenges over the past year, our team implemented a comprehensive restructuring plan. This initiative was aimed to optimize our operations, streamline processes, and align our resources within the dynamic market landscape. The unwavering commitment displayed by our team has played a pivotal role in our successful turnaround. This restructuring plan has also led to the divestment of a number of our assets deemed to be non-core to our future business.

Sale of Betprep

 In February 2023 FansUnite sold BetPrep, one of the Company’s affiliate brands, to Stram Entertainment Limited d.b.a. BestOdds (“Best Odds”). As part of the transaction, BestOdds agreed to pay FansUnite a 30% revenue share for 36 months subject to a minimum monthly guarantee, after the agreed upon ramp-up period, which ended on September 1, 2023.

 Sale of McBookie Ltd.

In May 2023, FansUnite sold McBookie Ltd. (“McBookie”), a Scottish-focused sportsbook and online casino in the U.K. for over $5 million in cash. The Company recognized a significant profit after initially acquiring McBookie in March 2020 for a total consideration of $2.2 million, which included a cash payment of approximately $1 million.

Sale of Chameleon Gaming Platform

 In May 2023, FansUnite sold the source code of its business-to-business (“B2B”) Chameleon Gaming Platform to Betr Holdings Inc. (“Betr”) for $10 million in total consideration, which included $3 million in cash, $2 million in Series A2 Preferred Shares of Betr, and milestone payments of up to $5 million payable, over 12 months following the closing of the transaction. FansUnite retained the use of the Chameleon Gaming Platform and source code to further develop and maintain the platform as well as the ability to sell such developments to another buyer in the future.

In September 2023, FansUnite migrated DragonBet, a Welsh-based UK sportsbook, off the Chameleon Gaming Platform. This completed our transition away from B2B platform licensing.

Strategic Investment

 In March 2023, management elected to accept additional strategic capital to support the business until the company could realize the full cost savings of such asset sales.

During the month, the Company closed a $3.04 million private placement of 37,976,242 units of the Company (the “Units”) at an issue price of $0.08 per Unit. The financing was led by a strategic investor group, Tekkorp Capital and affiliates (“Tekkorp”), an investment firm that advises and invests in innovative public and private companies within the global digital gaming industry, which itself acquired 13,750,000 Units. In addition, insiders, management, and employees of the Company acquired 4,304,742 Units, resulting in a total of $1.4 million invested into FansUnite by both Tekkorp and FansUnite’s insiders and management.

Strong Gross Margin and Adjusted EBITDA Growth

 During Q3 2023 results began to highlight the positive results from the strategic initiatives we undertook throughout the first half of 2023.

For the nine-month period ended September 30, 2023, the Company generated an adjusted EBITDA1 of $1.1 million, an increase of $2.3 million year-over-year while producing a gross margin of 63%, an increase from 54% in the prior year’s comparative period.  The improved margin was primarily driven by the sale of lower-margin, cash-burning assets such as the Chameleon Gaming Platform. The strategic divestment of iGaming assets will result in annualized cash savings of $7.8 million.

 Attainment of Cash Flow Positivity

 I am pleased to announce a significant achievement resulting from our rigorous restructuring efforts and the dedication of our team – FansUnite has been generating positive operating cash flows since the start of Q4-2023. This accomplishment not only underscores our adaptive capacity but also positions us for sustained success in the years ahead.

 Financial Stability and Self-Sufficiency

 Despite prevailing economic uncertainties, I am pleased to confirm that FansUnite currently stands in a financially stable position. The combination of positive cash flow and judicious financial management has removed the need for us to seek new capital injections at this time. This financial autonomy allows us to concentrate on our core objectives without the encumbrance of fundraising activities.

 Strategic Pivot towards Growth

 With a solid foundation now firmly in place, FansUnite is strategically poised to redirect its focus toward growth. Our market analysis and strategic planning have identified key opportunities that align with our strengths and objectives in the affiliate space.

Gratitude to the Team and Board

 A special acknowledgment needs to be extended to our dedicated team. Their hard work, adaptability, and resilience have been instrumental in driving our successful restructuring and path to profitability. Each team member has played a pivotal role in navigating challenges and contributing to the positive outcomes we can celebrate.

Our Board of Directors has shown unwavering support and guidance throughout the year. Its strategic insights and dedication to our long-term vision have been indispensable, and we express our deep appreciation for its continued hard work.

 Looking Forward

 In conclusion, while this year posed its challenges, the strategic decisions we’ve made, coupled with the dedication of our team, have positioned FansUnite for a positive future. We eagerly anticipate updating you on our continued progress and success in the forthcoming quarters.

Thank you sincerely for your support.

Scott Burton

CEO, FansUnite Entertainment


About FansUnite Entertainment Inc.

 FansUnite is a global sports entertainment and gaming company, focused on the regulated and lawful sports betting affiliate market which includes customer acquisition, retention, support and reactivation. FansUnite has established itself as a leader in the North American affiliate market through its subsidiary American Affiliate Co LLC (“AmAff” or “American Affiliate”). AmAff is a North American omni-channel customer acquisition company, covering both retail and digital customer activation for sportsbooks, casinos, poker and fantasy sports platforms.

For further information, please contact:

Prit Singh, Investor Relations at FansUnite

[email protected]



 This news release contains certain statements that may constitute forward-looking information under applicable securities laws. All statements, other than those of historical fact, which address activities, events, outcomes, results, developments, performance or achievements that FansUnite anticipates or expects may or will occur in the future (in whole or in part) should be considered forward-looking information. Often, but not always, forward-looking information can be identified by the use of words such as “plans”, “expects”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates”, or “believes” or variations (including negative variations) of such words and phrases, or statements formed in the future tense or indicating that certain actions, events or results “may”, “could”, “would”, “might” or “will” (or other variations of the forgoing) be taken, occur, be achieved, or come to pass.  Forward-looking statements in this news release include, but are not limited to, the Company’s strategic objectives, goals, growth outlook, strategy and focus and discussion thereof, including of future plans, ‎projections, ‎objectives, estimates ‎and forecasts and the timing thereof; the lack of need for capital injections at this time; the value of payments to be received from BestOdds in connection with the sale of BetPrep; the total value of the milestone payments to be received from Betr in connection with the sale of the Chameleon Gaming Platform; the future development and commercialization of the Chameleon Gaming Platform ‎and source code‎; and the annualized cash savings in connection with the strategic divestment of the iGaming assets.


Forward-looking statements are based on assumptions and analyses made by the Company in light of its experience and its perception of historical trends, current conditions and expected future developments, including, but not limited to, expectations and assumptions concerning: interest and foreign exchange rates; capital efficiencies, cost saving and synergies; growth and growth rates; the success in the online gambling and sports betting industry; the regulatory environment applicable to online gambling and sports betting; the technological infrastructure and support needed to host the Company’s online gambling and sports betting platforms and applications; any cryptocurrency applications to the Company’s business; and the Company’s growth plan. While FansUnite considers these assumptions to be reasonable, based on information currently available, they may prove to be incorrect. Readers are cautioned not to place undue reliance on forward-looking statements. In addition, forward-looking statements necessarily involve known and unknown risks, including, without limitation, risks associated with general economic conditions; audit-risks; risks associated with the regulatory environments in the jurisdictions the Company operates in; technology-related risks that could adversely affect the Company’s ability to operate its online gambling and sports betting platforms and applications, risks related to the novel coronavirus (COVID-19) global pandemic and any effects it might have on the Company’s business thereto. Readers are cautioned that the foregoing list is not exhaustive. For more information on the risk, uncertainties and assumptions that could cause anticipated opportunities and actual results to differ materially, please refer to the public filings of FansUnite which are available on SEDAR+ at Readers are further cautioned not to place undue reliance on forward looking statements as there can be no assurance that the plans, intentions or expectations upon which they are placed will occur. Such information, although considered reasonable by management at the time of preparation, may prove to be incorrect and actual results may differ materially from those anticipated. Forward-looking statements contained in this news release are expressly qualified by this cautionary statement and reflect our expectations as of the date hereof, and thus are subject to change thereafter. FansUnite disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by applicable law.


  1. Adjusted EBITDA is a non-GAAP measure that is defined on page 20 in the Company’s most recent Management Discussion and Analysis, released November 14, 2023 (“MD&A”), and is hereby incorporated by reference. The MD&A is available on SEDAR+ at