Canada-Based iGaming Provider Mazaii Corp Bought by Las Vegas-Based SPAC

Article by : Erik Gibbs Jul 17, 2024

• 
• 

Montreal-based iGaming company Mazaii is set to go public through a merger with special purpose acquisition company (SPAC) Relativity Acquisition Corp. in a deal valued at $500 million.

The transaction will see Relativity acquire 100% of Mazaii’s outstanding shares, propelling the Canadian gaming developer and platform provider onto the public market. While Mazaii boasts of providing solutions to “prominent brands” within the industry, its website currently lacks any client listings. However, they claim strategic acquisitions of unnamed companies have bolstered their presence across key regions like Europe, North America, Latin America, and Asia.

Mazaii’s CEO, Eli Baazov, brings experience from his previous role at Amaya Gaming, a company that rose to prominence after acquiring PokerStars. Speculation, fueled by a LinkedIn comment, suggests Baazov may be related to Amaya’s founder, David Baazov. Additionally, Baazov was reportedly involved in plans to list a virtual reality gaming software company named Vida Gaming on the Nasdaq ten months ago.

The deal’s completion hinges on various factors, including due diligence, regulatory approvals, final agreement negotiations, and board sign-off from both parties. Assuming everything falls into place, the merger is expected to close in the latter half of 2024.

Baazov sees the SPAC merger as a springboard for Mazaii’s ambitious expansion plans. He highlights the company’s strengthened position, expanded market reach, and innovative service offerings. Confident in their proprietary intellectual property and organic growth, Mazaii anticipates disrupting the gaming landscape and delivering significant shareholder value beyond 2024.

For Relativity, the Mazaii acquisition presents a lucrative opportunity for growth. Relativity’s CEO, Tarek Tabsh, emphasizes the significant potential for scalability and revenue increase. He believes the combined entity will enjoy a stronger competitive advantage and market positioning.

While Tabsh boasts experience in the cannabis and pharmaceutical industries, his team’s background raises some questions. Relativity’s CFO, Steven Berg, has experience in investment banking and cannabis company development. Similarly, director Emily Paxhia has ties to the cannabis industry. John Quelch, another director, possesses experience across diverse sectors.

Despite listing on the Nasdaq in 2022 and exceeding their fundraising target, Relativity received a delisting notice in April 2024 due to unpaid fees of $81,000. Furthermore, a previously agreed-upon acquisition of Florida clothing distributor SVES Apparel in February 2023 appears to have stalled. Interestingly, there’s currently no news of the Mazaii merger on Relativity’s website.

While Mazaii’s potential is undeniable, the unanswered questions surrounding Relativity’s past dealings and the lack of transparency regarding the merger announcement on their website cast a shadow on this seemingly promising union.