$Meridian Hldg(MRDN)$ went public through a reverse merger with $GOLDEN MATRIX GROUP NEW(GMGID)$ .
Some readers are probably thinking:
Why did MeridianBet owners merge with a much smaller US-based company, mostly for equity?
They were making millions of dollars in profit running online casinos in Southern Europe, so why bother?
I think there are a few reasons.
1) Being a publicly listed US company comes with a certain level of legal, operational, and reputational advantages!
A US company applying for a gaming license or seeking banking, payment processing, or other services will have an easier time than a Serbian one.
2) US is a huge opportunity for the company.
It would be incredibly difficult for a small, private Serbian online casino operator to get a US casino license.
However, a Nasdaq-listed US-headquartered gaming company would have an easier time getting a license.
3) Moreover, being part of a US group enables Meridian to scale by reinvesting earnings at higher returns.
The company now has access to the US capital markets. As they have aggressive expansion plans in both B2B and B2C verticals, new funding will undoubtedly be needed. Now the company can issue new shares to pay for mergers, or raise debt from US funds and banks.
4) Making high profits in the Balkans is great, but it also comes with a ceiling. Equity in a public company gives founders exposure to potentially much larger upside.
Essentially, they are trading steady regional dominance for global opportunity.
The merger was closed in April of 2024, whilst the Brazilian operating license was approved in January of 2025. It could be that the merger with Golden Matrix was a crucial step that helped MeridianBet secure that operating license.
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