Raketech has announced it has sold its “non-core US advisory business” for $2.25m (£1.73m/€2.1m).
The sale of ATS Consultants will also involve Raketech receiving an ongoing revenue share on future operator deals, guaranteeing a minimum of $250,000 over the next year. The company has been purchased back by its existing management.
Raketech acquired ATS Consultants back in December 2021, which ran several lead-gen sports tipster sites in the US.
A review by the affiliate on its US business operations and assets resulted in the decision to divest the asset as Raketech aims to focus on its core digital offerings and growth opportunities.
"This strategic sale is an important step in streamlining our operations and focusing on our core strengths,” said Raketech CEO Johan Svensson.
“By leveraging our high-quality US operations, our strategy is to maximise the growth potential in digitalised subscription and affiliate marketing revenues and expand our sub-affiliate marketing and partnership revenue streams.
“Despite the one-off non-cash impairment charge, we are confident that this move will enhance our focus, drive improved performance, and deliver long-term sustainable growth and value creation."
The deal is expected to close by 31 August and will result in a one-off non-cash impairment charge of around €10m for the US assets.