In a move to bolster its status as one of the leading gaming developers, Malta-based Evolution is reportedly on the verge of acquiring Galaxy Gaming for $85 million.
Significant Milestone
Evolution, a leading gaming software developer that bills itself as “game creators and game changers,” has reportedly struck a deal with Las Vegas-based Galaxy Gaming for $85 million to increase its catalog of retail and online gaming offerings.
“We are thrilled to announce the acquisition of Galaxy Gaming, which represents a significant milestone in our mission to provide unparalleled gaming experiences to our customers. Galaxy Gaming’s exceptional products and technology complement our existing portfolio and strengthen our strategic position,” commented Evolution CEO Martin Carlesund.
In what can only be described as a strategic and synergistic acquisition, Galaxy Gaming will continue to operate as its own entity and the employee pool will be largely undisturbed. According to reports, Galaxy Gaming is expected to generate $29-$30 million in bet revenue while delivering $12 million to $13 million in adjusted EBITDA.
President and CEO of Galaxy Gaming, Matt Reback, stated, “We believe this transaction represents the opportunity to unite two world-class, customer-focused teams in a way that will benefit all stakeholders. It combines Galaxy Gaming’s thriving land-based business, driven by our industry-leading games and progressive technologies, with Evolution’s global reach and innovative online gaming leadership.”
Licensing and Regulatory Approvals
Galaxy Gaming currently holds 131 licenses across 28 US states and specializes primarily in casino table games running the gamut from blackjack to Pai Gow Poker to roulette. The deal is contingent on regulatory approvals as well as the blessing from Galaxy Gaming stockholders. The deal is expected to close in the middle of next year.
Evolution Acquires LiveSpins
Galaxy Gaming is only the most recent of Evolution’s acquisitions as they also purchased Livespins back in February of this year for $5.4 million and will continue operating as its own entity. LiveSpins is a B2B social streaming game provider that allows players the option of betting behind social media influencers and brand ambassadors as the stream is live. This enhances the communal experience for users and affords those to win or lose with not only the social influencer but others backing them as well.
Todd Haushalter, Evolution’s Chief Product Officer, stated: “Playing along with a streamer is a whole new way to play online casino games. This was on our roadmap, so when the opportunity with Livespins arose, things moved quickly. Bringing together the fantastic tech, processes, and know-how of the team at Livespins with Evolution’s huge game portfolio, we will provide Livespins immediately with unparalleled distribution power via our One Stop Shop (OSS) integration. Twitch, YouTube, and other platforms have proven the popularity of live streaming while playing online casino games. We think players would love to play along with them and now that will be possible, right from the Evolution lobby.”
Livespins CEO Chris Scicluna added: “This is an unprecedented milestone for Livespins and we couldn’t be happier to be joining the Evolution Group. Although we have content from 40-plus studios already integrated, we are still in a start-up phase, so to attract the attention of Evolution is incredible. It’s also a reflection of all the hard work that our team has poured into this concept, and the unwavering belief that the Livespins product would revolutionize the industry.”
