Evolution Gaming eyes NetEnt in massive new deal
Stockholm based live casino and iGaming firm Evolution Gaming has set its hopes on acquiring fellow Swedish rival NetEnt through a hefty public offer worth 19.6 billion Swedish crowns ($2.12 Billion).
The firm announced in a press release that it envisioned an arrangement that would pay investors around $8.56 for each share in NetEnt obtained–representing a 43% premium based on Tuesday 23rd’s closing price.
Both companies develop & license a range of online casino games like video slots to iGaming operators around the world. NetEnt was created in 1996 and has been a pioneer within the industry by providing unique games powered by innovative platform development. Some of their best-loved titles include the iconic Starburst, Mega Fortune, and Blood Suckers.
Evolution has also stated that the offer price will not be increased any further, meaning that investors have until October 26th to make a decision. They expect that the deal if it goes ahead, will result in annual cost savings of about 30 million euros ($34 million) as well as having a positive effect on earnings per share in 2021. Reuters has reported that several large investors holding 45% of NetEnt’s shares are known to have accepted the offer in principle so it may only before a matter of time before the deal is confirmed.
Richard Livingstone, Osterbahr Ventures AB, Joel Citron, and Jonas Engwall–the majority shareholders in Evolution have also expressed their positivity and intend to vote in favor of authorizing to sell shares.
Evolution’s CEO Mathias Hedlund discussed the agreement further:
With this deal, there are unique possibilities to shape a leading global B2B provider of Pay n Play online casinos, taking advantage of the market development with continued digitalization and strong growth, especially in North America. Evolution’s position within live casino combined with NetEnt’s position within online slots will create a company well-positioned to take significant market shares. Through this transaction, a new chapter in the development of more entertaining online casino begins, in the best interest of players, operators, employees, and shareholders.
This agreement is the latest step in Evolution’s climb to the top
The news of this potential agreement between Evolution & NetEnt is just one of the big moves that the company has been making this year and follows an announcement that an agreement between Evolution and Rush Street Interactive has been extended. Six of Evolution’s first-person games (First-Person Roulette, Lightning Roulette, Blackjack, Dream Catcher, Baccarat, and Mega Ball) will become available to Colombian players for the first time as RNG versions of these already popular games in North America and Europe.
Evolution Gaming was founded in 2006 with the aim of revolutionizing the live casino market and has rapidly established itself as one of the industry’s biggest names in producing live casino and iGaming titles. They were awarded Online Casino of the Year at the 2020 Global Gaming Awards.