Tomorrow at Tekedia Live, I will lead our live session. During my monologue part, I will discuss Scaling through Partnerships. As I do that, I will illustrate how MultiChoice is executing a winning strategy, and what we can learn from the firm. Also, I will discuss the latest deal where the entertainment giant in Africa acquired 20% of BetKing for $81 million.
Many of our Tekedia members would have understood the strategic play in that acquisition: Double Play Strategy; I will explain at deeper levels. Essentially, the best consumer money-making business in BBNaija is the gambling part in which betters wager who among the housemates would be cut as the show progresses.
Unfortunately, MultiChoice/DStv was not capturing any of those massive betting revenues. During the last edition of BBNaija, many betting sites built products around BBNaija, and many of them made tons of money. For DStv, buying a part of BetKing is to keep that value in house by now using the betting platform as its official partner. Possibly, through that, it would capture value. This is a good example of a Double Play Strategy: MultiChoice is going to capture tons of monetary value through BetKing with the show serving as the One Oasis.
MultiChoice buys 20% in Betking for $81 million, valuing the company in excess of $400 million. Essentially, MultiChoice does not just want to live on European soccer rights which keep rising on aggregate price, affecting margins in a continent where consumers are discovering alternative ways to be entertained.
So, provided you call it entertainment – watching Ronaldo and Messi or playing and betting their avatars – money can be made. With BetKing, MultiChoice thinks there is an opportunity to ramp up revenue from this exploding sector in Africa, and it could do that without relying on the capacity to ship more money to hold football rights in European capitals.
Do not feel stressed that I am discussing betting here – it is one of the things that happen for any educator. You do not always bring your morality in the game provided that business is a legal sector. Yes, that you are an environmental activist does not mean you cannot teach petroleum engineering in college.
The schedule as follows: Wednesday | 7pm – 8pm | Scaling through Partnerships, MultiChoice/DStv BetKing Deal, General – Ndubuisi Ekekwe | Zoom link
Click to join Tekedia Capital and build Next Africa with min of $10,000 co-investment in startups.