Flutter Entertainment has said it will buy bingo group Tombola in a £402m deal.
The owner of Paddy Power and Betfair has purchased the group and the deal will be completed early next year.
Tombola has around 400,000 monthly users and is based in Sunderland and Gibraltar. It had revenues of £164m in the year to the end of April.
“Tombola is a business we have long admired for its product expertise, highly recreational customer base and focus on sustainable play,” said Peter Jackson, chief executive of Flutter.
“The brand aligns closely with Flutter’s safer gambling strategy, a key area of focus for us.”
“As the time comes for Phil to hand over the reins, I would like to thank him for building the success story that the business is today and I look forward to welcoming the Tombola team to Flutter and growing a sustainable business for the future together,” he added.