So far, 2016 has been an exciting year for the fast-growing online casino industry. We have all witnessed a number acquisitions in the last couple of months, and still, the latest news about Playtech acquiring Quickspin has caused quite a commotion.
Playtech has just acquired Quickspin
The industry was leading gambling technology provider Playtech has just gone through its first major acquisition of 2016. On May, 24th Playtech confirmed that it has agreed to acquire Quickspin, a Swedish up and coming games provider for €50 million.
Playtech has agreed to pay six times the Quickspin’s EBITDA earnings projected for 2018.
Details around the deal reveal that Playtech has agreed to pay six times the Quickspin’s EBITDA earnings projected for 2018 which is equal to €50 million the deal was closed at. Quickspin will receive an initial payment of €24million for its assets, with the remaining value to be paid in tranches.
Furthermore, according to the deal, Quickspin’s founding executive team will remain in charge of the business for a minimum period of three years.
Playtech CEO seems quite satisfied
Following the closing of the acquisition, Mor Weizer, CEO at Playtech commented: “We are delighted to welcome Quickspin into the Playtech group. Quickspin is a fast-growing and leading supplier of the highest quality games to the highest quality operators, strengthening Playtech’s position as the leading platform and content provider in the industry. We look forward to working with the Quickspin team and to see the Quickspin brand continue to flourish within the Playtech family,”
“Playtech remains in active discussions with some other bolt-on acquisitions as well as larger acquisitions in the gaming division, together with proposals for selective bolt-on acquisitions in the financials division.”
This agreement is the first major acquisition made by Playtech in 2016, after several failed acquisition attempts. Earlier this year, it was reported that the company was in the race to acquire OpenBet. However, this provider was eventually purchased by NYX Gaming Group for £270m.
More on Quickspin
Quickspin was founded in 2011 by established industry professionals, and in short time it has become one of the fastest growing game providers that create beautifully-designed slot online slots. In 2015 alone, Quickspin generated revenue and adjusted EBITDA of €6m and €2.1m respectively for its full-year performance.
More importantly, Quickspin is a young company that loves slots, and they are all players that enjoy creating exciting games for other players. To find out more feel free to read our exclusive interview with Daniel Lindberg, the CEO at Quickspin that was conducted just at the close of 2015.