GiG Agrees Principal Terms for €16.4m 888AFRICA Deal

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Altay Celikkaya

Content Manager

Updated: 26/08/26

Reading Time: 3 minutes

GiG Software has agreed principal commercial terms to acquire an 80% majority stake in 888AFRICA for a proposed consideration of €16.4 million. The transaction would give the Malta-headquartered B2B technology supplier control of a profitable consumer-facing operator active in Mozambique, Angola and Tanzania. Existing 888AFRICA management would retain the remaining 20% interest. The acquisition has not been completed. It remains subject to final approvals and the signing of a definitive share purchase agreement.

GiG and 888AFRICA logos representing GiG’s proposed acquisition of an 80% majority stake in the African betting operator

Mergers & Acquisitions

Key Takeaways from GiG’s Proposed 888AFRICA Acquisition

GiG has agreed principal terms for an 80% interest, rather than signed a final acquisition agreement.
The proposed consideration is €16.4 million, supported by an announced €8.5 million financing package.
The funding combines new equity and convertible loans provided by existing shareholders.
The convertible loans carry 15% annual interest and could create additional shareholder dilution if converted.
GiG expects 888AFRICA to add profitable operations and strengthen the combined group’s cash-generation profile.

€8.5m Financing Package Introduces Dilution Risk

GiG intends to support the transaction through an €8.5 million fundraising package comprising €2.5 million from a directed share issue and €6 million in convertible loans. The announced raise represents a financing component rather than the entire €16.4 million proposed consideration.

The convertible loans have a two-year term and carry annual interest of 15%, creating an immediate financing cost until they are repaid or converted. Up to 25% of the principal may be converted every six months at a 10% discount to GiG’s ten-day volume-weighted average share price.

The directed share issue is expected to dilute existing SDR holders by approximately 9%, subject to completion of the 888AFRICA acquisition and receipt of the funds. Further dilution could arise if the convertible loans are converted, although the final impact cannot yet be calculated because the conversion price has not been determined.

GiG’s official fundraising announcement provides the complete equity, interest and conversion terms.

African B2C Operations Reshape GiG’s Growth Model

The deal would expand GiG beyond its core role as a platform and sportsbook technology supplier. Through 888AFRICA, the group would gain direct exposure to player revenue, operating margins and consumer acquisition across three African markets.

888AFRICA holds a market-leading position in Mozambique and also operates in Angola and Tanzania. GiG described the business as cash-generative, profitable and fast-growing, making its earnings profile central to the acquisition rationale.

The regional opportunity is supported by wider evidence of structural iGaming demand in several African markets, where expanding digital access, operator entry and established betting cultures have supported growth outside short-term sporting cycles.

However, owning a B2C operator also exposes GiG directly to local licensing, payments, marketing and player-protection requirements. Those responsibilities will be shaped by country-specific developments, including Tanzania’s planned licensing and enforcement reforms.

Q2 Performance Raises the Stakes for Execution

According to GiG’s official Q2 2026 results, second-quarter revenue reached €8.8 million, down 5% year on year, while adjusted EBITDA declined to €0.8 million from €1 million. Its operating loss widened to €6.9 million, including a €3 million bad-debt provision, and cash stood at €3.5 million at the end of June.

Pending completion, GiG expects the combined group to generate 2026 revenue of €44 million to €48 million and adjusted EBITDA of €5 million to €7 million, assuming 888AFRICA contributes throughout the fourth quarter. Management also expects the integrated group to become cash-flow positive on a quarterly basis.

The proposal follows a broader pattern of iGaming groups acquiring controlling stakes to enter new regulated markets. For GiG, the decisive tests will be securing final approvals, completing and integrating the acquisition, managing the approximately 9% dilution from the directed share issue and any additional dilution from the convertible loans, and converting 888AFRICA’s regional position into sustainable group-level cash flow.