LAS VEGAS, NV, May 31, 2016 /CNW/ - NYX Gaming Group Limited (TSX VENTURE: NYX) ("NYX Gaming Group"), a market leading content and technology supplier to lotteries, casinos and gaming operators across the globe, is pleased to announce the acquisition of Betdigital, a UK based supplier of gaming content and platforms.
The acquisition of Betdigital, a creator of content and systems for online, mobile, interactive TV and land-based gaming platforms will provide NYX with a game development platform and studio that caters to the UK retail and online markets. Betdigital will also provide NYX with the ability to further exploit opportunities for games development and leverage existing NYX studios for game design and art.
Founded in 2011 to develop content and systems for the UK and international gaming markets, Betdigital is known for their development of a truly-cross platform gaming engine which enables third party and online game developers to bring their content to the land-based gaming market. Betdigital has recently experienced strong growth by leveraging its expertise in the £1.7 billion UK retail machine market through the strong performance of several new gaming titles.
The purchase price consists of an upfront cash payment and earn out over three years. The maximum aggregate consideration including upfront and earn out is £24.5 million, equivalent to a 2.51x EBITDA multiple. The total assets acquired were less than 5% of NYX Gaming Group's total assets at March 31, 2016.
Heath Samples, CEO & General Counsel, Betdigital stated, "We are well-positioned to help NYX gain maximum returns from their plans for omni-channel expansion. Being a part of the NYX family will accelerate Betdigital's growth story by leveraging the cross sell opportunities available with the NYX customer base and by providing them with world-class content."
Matt Davey, Chief Executive Officer, NYX Gaming Group adds, "In Betdigital, we have identified an asset that will strengthen our reach and underpin the global content strategy of the company. Particularly, Betdigital allows NYX to strengthen its position in the UK market, providing another unique flavor of regional expertise and omni-channel content that will benefit NYX and OpenBet customers and shareholders immediately and over the long term."
About NYX Gaming Group Limited
NYX Gaming Group Limited is a leading digital gaming provider headquartered in Las Vegas, USA with a staff of more than 1100 employees based in 14 countries across Europe, North America, Asia and Australia. The Company provides one of the world's largest portfolios of leading content and technology to some of the foremost gaming operators, lotteries and casinos across the globe. NYX also has one of the broadest distribution bases in the industry with over 200 unique customers and the widest portfolio of content available from their own global studios and broad partner network. The diversified game catalogue delivers content across web and mobile formats, focusing on bingo, casino, lottery and Sportsbook verticals.
NYX Gaming Group Limited is listed on the TSX Venture Exchange under the symbol (TSXV: NYX).
Certain statements included herein, including those that express management's expectations or estimates of NYX's future performance, constitute "forward looking statements" within the meaning of applicable securities laws. Any statements that are contained in this news release that are not statements of historical fact may be deemed to be forward-looking statements. Forward-looking statements are often identified by terms such as "may", "will", "should", "expect", "plan", "anticipate", "believe", "intend", "estimate", "potential" or the negative of these terms or other similar expressions. Forward looking statements in this press release include, but are not limited to, statements with respect to accretive earnings, anticipated revenue and cost synergies associated with the acquisition of Betdigital. Forward looking statements are based on certain assumptions regarding Betdigital's expected growth, results of operations, performance, industry trends and growth opportunities.While the Company considers these assumptions to be reasonable, based on information currently available, they may prove to be incorrect. Readers are cautioned not to place undue reliance on forward-looking statements.
Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by management at this time, are inherently subject to significant business, economic and competitive risks, uncertainties and contingencies that could cause actual results to differ materially from those expressed or implied in such statements. Investors are cautioned not to put undue reliance on forward looking statements. Applicable risks and uncertainties include, but are not limited to: credit, market, currency, operational, liquidity and funding risks, including changes in economic conditions, interest rates or tax rates, the impact of government regulation on the on-line gaming industry and the risk that such regulation is subject to change, competition from other providers of online gaming services, the possibility that the Company will be unable to successfully integrate Betdigital's business as described herein, the risks associated with international and foreign operations, the impact of consolidations in the online gaming industry and the other risks identified under the heading "Risk Factors" in the Company's final long form prospectus dated December 18, 2014, final short from prospectus dated July 9, 2015, and annual information form dated April 26, 2016, each as filed on SEDAR at www.sedar.com, and in other filings that NYX may make with applicable securities authorities in the future.
The forward-looking statements contained herein reflect NYX's current views with respect to future events, and except as required by law, NYX does not intend, and undertakes no obligation, to update any forward-looking statements to reflect, in particular, new information or future events, or otherwise. Any forward-looking statements or facts (including financial information) related to Betdigital's business discussed or disclosed herein are derived from information obtained from Betdigital and publicly available sources and has not been independently verified by the Company.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
SOURCE NYX Gaming Group Limited
For further information: Matt Davey, Chief Executive Officer, NYX Gaming Group Limited, 1-702-586-8428; Joann Head, Investor Relations, 647-962-9600