Less than a fortnight after completing the acquisition of major developer and supplier of sports betting and gaming solutions OpenBet, Canada-listed NYX Gaming Group announced another strategic purchase. The popular technology and content supplier said on Tuesday that it would buy fellow provider of solutions for the gambling industry Betdigital.
Established in 2011, the UK-based company has been creating since then systems and content for land-based, online, mobile gaming, and interactive TV platforms. Through its latest acquisition, NYX Gaming would be provided with a gaming studio and development platform that are aimed at catering to the demands of UK-based gambling customers. In addition, Betdigital would provide its new owner with further development opportunities and would leverage its existing gaming studios.
Generally speaking, Betdigital is best known for producing a cross-platform gaming tool which gives third-party and online gaming developers the opportunity to make their products and services available to the land-based gambling industry.
The announced purchase price is comprised of an upfront cash payment as well as earn-out over the next three calendar years. Including both upfront and earn-out, the maximum aggregate consideration amounts to a total of £24.5 million or 2.51xEBITDA. The total assets purchased represent less than 5% of NYX Gaming’s total assets as of March 31, 2016.
Commenting on the latest announcement, Betdigital CEO and General Counsel Heath Samples said that their company is in a great position to secure NYX Gaming with maximum returns from their omni-channel expansion plan. The official added that being purchased by the major gaming supplier, Betdigital will be able to accelerate its growth and to leverage cross-sell opportunities by providing NYX Gaming customers with top-class gaming content.
NYX Gaming CEO Matt Davey commented that they consider Betdigital an asset that has the potential to strengthen their global reach and underpin their global growth strategy. In addition, NYX Gaming’s latest acquisition gives the company the opportunity to further establish itself in the UK gambling market. Mr. Davey further explained that by adding omni-channel offering and regional expertise, customers of both NYX Gaming and OpenBet as well as shareholders will be able to reap the benefits from the transaction immediately and in the long term.
