Sports and gaming digital media company XLMedia has agreed to sell its remaining business in North America to Sportradar, a Switzerland-based sports data specialist. This conditional agreement will see the rest of XLMedia’s NA business transferred to Sportradar for $30 million in cash.

According to XLMedia, the agreement will be executed soon after its general meeting on November 7. As per the agreement, Sportradar will pay $20 million at the time of the completion as well as an additional $10 million subject to the assets’ performance by April 2025.

The company noted that it was confident that the flourishing gaming sector in America would pave the way to long-term success for the company. However, the circumstances prompted concerns about the company’s ability to compete in the dynamic US market.

For context, XLMedia’s business in North America recorded $27.5 million in revenue for 2023, as well as $5.5 million in estimated adjusted EBITDA. Yet, these results fell short of XLMedia’s expectations, prompting it to accept Sportradar’s purchase offer. The former company’s board described the offer as a fair net present value for the business, all factors considered.

Following this latest divestiture, XLMedia will become a cash shell entity that will distribute the proceeds of the sale in NA, as well as the previously announced sales in Canada and Europe. The total sales raised $72.5 million in cash before costs and liabilities, which significantly exceeded the original estimates.

XLMedia chair Marcus Rich noted that his team anticipates an initial distribution from the net proceeds to shareholders before the end of 2024.

Earlier this year, XLMedia had already begun divesting some of its assets amid suboptimal financial results. In March, the company agreed to sell its Freebets business to Gambling.com. This transaction was made possible by a $50 million credit facility with Wells Fargo that Gambling.com had secured earlier that month.

While XLMedia continued to expand its presence in the USA, however, it continued to experience significant setbacks.  In its FY 2023 report, the company outlined a 42% decrease in the North America (Sport) segment and a 54% decline in the North America (Gaming) segment.

After the upcoming sale, XLMedia plans to suspend its share trading by May 2025.