Jumbo Interactive expands prize draw reach into US with Dream Giveaway deal

Summary

Australia-based Jumbo Interactive has agreed to acquire US-facing Dream Giveaway for AU$57.8 million (approx. US$37.6m) in upfront cash, funded from cash on hand and an existing debt facility. Dream Giveaway is a B2C operator specialising in higher-value, automotive-themed prize draws run under a charitable donation model. Jumbo says the acquisition provides it with an entry point into the US prize draw market and will establish a B2C presence there for the first time. The current Dream Giveaway management team is expected to remain, with retention arrangements in place to secure continuity.

Key Points

Jumbo will pay AU$57.8m upfront to acquire Dream Giveaway USA.
Dream Giveaway focuses on higher-value, auto-themed giveaways operating via a charitable donation model.
For the 12 months to 31 July 2024 Dream Giveaway reported AU$21.6m revenue, AU$7.1m adjusted EBITDA and AU$27.1m total transaction value.
Jumbo expects low-to-mid single-digit EPS accretion in the first 12 months post-completion.
Jumbo forecasts underlying EBITDA from the US business of US$2.7m–US$3.0m for an eight-month contribution in FY26, excluding an initial strategic investment of US$0.4m–US$0.6m to support growth and platform transition.
The deal follows Jumbo’s recent AU$109.9m acquisition of Dream Car Giveaways (DCG) in the UK, signalling rapid international expansion in the prize draw sector.

Content Summary

Jumbo’s purchase of Dream Giveaway gives the Australian operator a direct B2C foothold in the US prize-draw market. The target has a seven-year growth track record and profitable financials; Jumbo plans to accelerate growth using its software platform and digital marketing capabilities. Management continuity and retention incentives are intended to smooth the transition. Financially, the deal is modestly accretive and Jumbo has updated its FY26 outlook to include the expected contribution from the US entity.

Context and Relevance

This transaction is part of a clear roll-up strategy by Jumbo into prize draws across key markets. It complements the recent UK DCG purchase and shows consolidation in the niche prize-draw space, where digital marketing and platform scale are differentiators. For investors and industry watchers, the deal highlights near-term revenue and EBITDA contributions, plus modest integration investment and potential for platform-driven growth. It also underlines cross-border M&A momentum among lottery and prize-draw operators seeking B2C scale.

Why should I read this?

Short version: Jumbo just bought a profitable US prize-draw brand for AU$57.8m to jumpstart its US B2C push. Management stays, the numbers look decent, and it builds on a recent UK deal — so if you follow lottery/prize-draw consolidation, digital marketing-led growth or near-term earnings moves, this is worth a quick skim. We’ve done the slog for you.