Sportradar, Data Analysis Firm For Sports Betting, Announces IPO

  • Sportradar is going public via an Initial Public Offering (IPO).
  • The company estimates they will bring in more than $500 million with the IPO, and $100+ million via private placement.
  • Shares will cost interested buyers anywhere from $25 and $28 apiece.

NEW YORK - Sportradar, a major data analysis firm for bookmakers, media companies, and sports leagues, has announced the terms of its IPO.

The company is going public, and will be offering 19 million shares with an initial share price of $25 to $28.

By their estimation, this will bring in around $504 million. In addition, other shares will be sold via private placement, which would bring in a further $159 million according to some estimates.

Sportradar: Origins

Sportradar is most famous for working with sportsbooks all over the world in order to set odds and lines via mathematical models.

Some of their more famous clients include William Hill, Paddy Power, and Bet365, as well as famous sports teams such as Borussia Dortmund and sporting federations like CONCACAF.

The company started in 2001 when founders Petter Fornass and Tore Steinkjer used a computer program to scrape betting data and analyze it.

Since then, they’ve grown into a juggernaut, and are perhaps the most well-known data analysis company in the sports betting world.

Sportradar: What Are They Now?

Sportradar's services are varied. For sportsbooks, they provide odds and lines via the aforementioned mathematical models.

For teams, they deal in broadcast services, as they acquired Sportsman Media Group in 2016, which came with a portfolio of audio-visual and broadcast services.

In terms of sporting federations and leagues, Sportradar runs fraud detection systems that can help recognize betting-related match-fixing.

The company has also worked with law enforcement organizations in order to detect match-fixing.

This means that they have signed deals with Europol, the Board of Control for Cricket in India, and the Australian Federal Police - a wide range of clientele.

This level of integration into the framework of the sporting world makes them a hot ticket in terms of their IPO.

Their valuation falls somewhere in the upper-single-digit billion range at this point with one recent estimate putting it at $7.8 billion, although previous estimates had it around $10 billion.

It will be interesting to see what the future holds for this fixture of the online gambling world.