Sun International, the South African hotel and casino giant, recently acquired rival gaming group Peermont for a whopping R7.3 billion (US$400 million). This move is set to significantly expand Sun International's land-based casino portfolio and give its online gambling presence a substantial boost.

Peermont's been around since 1995 and operates 11 properties across South Africa and Botswana – including their flagship resort, Emperors Palace near Johannesburg. With nearly 1,700 slot machines, 69 gaming tables, and 757 hotel rooms, as well as its prime location near OR Tambo International Airport, it's perfectly positioned to attract high-rolling international customers.

Sun International CEO Anthony Leeming is thrilled about the acquisition, calling it a "unique opportunity" to get their hands on a "world-class and highly cash generative" business like Peermont. He claims the deal fits perfectly with the company's strategy of focusing on large urban casinos, which are expected to drive value across their smaller regional properties and online platforms.

The acquisition also includes Peermont's online sports betting brand PalaceBet. This will complement Sun International's existing online platform, expanding the company's reach in the fast-growing digital gambling space.

PalaceBet and SunBet both offer a wide range of online betting options, including sports, live dealer casino games, slots, and more. The two combined platforms will also offer an even wider selection of sports betting markets, covering everything from local soccer and rugby matches to international sports events.

Players can look forward to a greater variety of slots and table games from top software providers. The live dealer offering is also set to expand. Exclusive slot and table tournaments with big prize pools will become regular features.

To attract and retain players, generous bonuses and creative promotions will be on offer. These include deposit match bonuses, casino free spins on the latest online slots, cashback on losses, and loyalty rewards for regular play. High rollers and VIP customers can expect red carpet treatment with personalized offers and dedicated support.

Sun International aims to become the leading destination for online sports betting and casino gaming in South Africa. The company's expertise in land-based gambling hospitality will help it create a premium online experience for local players.

In its most recent financial results, Sun International reported a rise in income from its SunBet platform at over 50% year-on-year. The company has set an ambitious goal to grow SunBet's gross gaming revenue to R2 billion by 2026, which would represent a 5x increase from current levels.

Over the past six years, the company has exited investments in other African countries and Latin America to focus on strengthening its core domestic business.

This strategy of streamlining the organization and generating cash has put Sun International in a strong financial position to undertake a major acquisition like Peermont. Leeming notes that the company plans to quickly reduce its debt levels following the acquisition, while continuing to provide dividends to its shareholders.

Peermont's management team will be staying on after the acquisition to help drive the combined company forward. Leeming says he is encouraged by the opportunities the deal creates for staff development and growth in the direction of a larger organization.

The Peermont transaction made headlines across Africa as Sun International made a significant investment in both land-based and online gaming in South Africa. With the acquisition of Emperors Palace and other Peermont casinos, Sun International can now cross-sell and attract new customers, effectively expanding their customer base.

The merger of the companies' online sports betting and gaming operations creates a robust digital platform within a rapidly expanding industry. Sun International is now strategically positioned to capture a significant portion of the burgeoning South African mobile betting market.

With regulatory approval secured, Sun International's acquisition of Peermont marks a significant growth milestone. This deal enhances the provision of world-class entertainment both in lavish casino resorts and online for South African gamers.