Evolution Gaming strives to evolve.
May 12, 2021
When Evolution Gaming announced its intention to acquire NetEnt, a leading game developer, the online casino industry was ecstatic. On June 24, 2020, the top summer store developer unveiled a $ 2.12 billion offer to NetEnt.
As a result of this acquisition, Evolution Gaming owns more than 90% of NetEnt’s shares. The bidder confirmed that the maximum amount it paid was $ 2.12 billion. It also allowed NetEnt to accept the offer from August 17 to October 26.
The value of a NetEnt share is now around $ 8.50 per share, the highest level in more than three years. NetEnt’s Board of Directors quickly recommended the offer to shareholders.
Expectations from the store
If the agreement is signed, companies are estimated to save a total of € 30 million in annual costs compared to the first quarter of 2020.
NetEnt’s shareholder acceptance of the offer will increase Evolution Gaming’s market position. It increases their income and also increases the number of casino games they sell. It is also expected that if the transaction is completed, their earnings per share will increase.
Jens Von Behr, President of Evolution Gaming, described the agreement as a significant shift towards the company’s goal of becoming a global leader in the online casino industry. He also predicted that it will bring a growing number of world-class online casino games to more and more customers.
The acquisition is the latest significant step for the gaming company since its inception in 2006. More than 300 operators are customers for the company, which has a workforce of approximately 8,000 across Europe and North America.
Why is Evolution Gaming so keen on Netent? (And vice versa)
NetEnt has proven competitive over the years thanks to its innovative slot games such as Narcos and Street Fighter II. This purchase fits perfectly with Evolution Gaming’s strategy.
The company’s recent acquisition of Red Tiger Gaming (RTG) may have made them more attractive to Evolution Gaming. Netent has also developed a significant presence in the United States. This would fit well with North American Evolution Gaming studios, which would lead to business expansion.
This offer would also benefit NetEnt as it benefits from Evolution’s stronghold in the live casino market. This platform is used by many well-known websites in South Africa, including Casino Top. In the UK, they have different regulations, but they are a much more regulated market and much better than using random sites in Europe.
NetEnt Chairman Matthias Hedlund has described it as a watershed in the company’s history. He went on to have another chapter in the development of more fun and interesting online casino games.
NetEnt shareholders will receive 0.1306 Evolution shares for each share they hold. Many of NetEnt’s largest shareholders, who together own about 45 percent of the company, have agreed to accept the offer.
NetEnt and Evolution Gaming
Evolution Gaming was founded 14 years ago and now has 8 gaming studios from which it broadcasts live casino games. They broadcast a variety of games with live retailers who speak the customers ’native language. There are studios in Spain, Belgium, Romania, Canada, Malta, Georgia, Latvia and Atlantic City. Paddy Power, Betfair, Pokerstars, GVC Holdings, 888 and others are among Evolution Gaming’s customers.
NetEnt, which has been in use since 1996, is known for its slot machines. The company’s game “Narcos” was named one of the best new slot games of 2019. The company has released many other famous games that are enjoyed by casino players all over the world.