Investment

Nasdaq-listed Gambling.com Group gears up to join Russell 3000 Index

By Conor Mulheir - 9 Jun, 2022

Affiliate powerhouse Gambling.com Group is set to join the broad-market Russell 3000 Index later this month.

According to a preliminary list of additions posted by the FTSE Russell last week, the firm will be included on the index after the US market opens on 27 June, and its shares will also be automatically added to the appropriate growth and value indexes.

The Russell 3000 Index measures the performance of the largest 3,000 US-listed companies, representing around 97% of the investable US equity market.

The index is intended to provide a comprehensive, unbiased and stable barometer of the broad US market, and is completely reconstituted every year to ensure new and growing equities are included.

The index is made up of the large-cap Russell 1000 Index, representing the 1,000 US companies with the largest market caps, and the small-cap Russell 2000 Index, which makes up the bottom two-thirds of the list.

Russell categorises businesses primarily by objective, market cap and style attributes.

Gambling.com Group CEO Charles Gillespie: “After Gambling.com Group successfully completed its IPO last July, the inclusion of the group’s shares in the Russell Universe of Indexes is a great honour.”

Based on preliminary market cap ranges published by FTSE Russell last month, Gambling.com said it expects to be included in the Russell 3000, Russell 2000, Russell 2500, Russell Microcap – which includes a further 1,000 small-cap businesses – and the Russell 3000E, which combines the Russell Microcap and 3000 indexes.

“After Gambling.com Group successfully completed its IPO last July, the inclusion of the group’s shares in the Russell Universe of Indexes is a great honour,” said Charles Gillespie, CEO of Gambling.com Group.

“Our participation in these indexes will bring the group – the first online gambling affiliate to be publicly traded in the United States – enhanced visibility within the American equity capital markets.

“The inclusion is an excellent milestone for the group, which we hope will help drive increased liquidity and investor awareness of our unique equity story,” he added.

Gambling.com Group is on a rapid growth path in the US after its recent acquisitions of RotoWire.com and BonusFinder.com helped North American revenue reach $10.6m in the first quarter of 2022.

This represented the first reporting period in which North American markets generated more than half of the group’s total revenue, and was a marked improvement from the prior-comparative period, when the region delivered just $1.7m for the firm.

“Our current primary strategic objective is to rapidly grow our business in the US market, which is exactly what we did in the quarter – while also delivering high margins despite the continuous investments in the business to position us for further US growth,” Gillespie said when the results were published.