ST JULIANS, Malta, Dec. 21, 2023 /PRNewswire/ — Gaming Innovation Group Inc. (GiG) is pleased to announce the successful completion of its acquisition of KaFe Rocks Ltd., a prominent affiliate leader in the iGaming industry, ref. announcement from GiG on 7 November 2023. This strategic move positions GiG’s media division, GiG Media, as the dominant force in online casino affiliation and reinforces the business’ foothold in the lucrative North American market.
Building on the success of the AskGamblers acquisition, GiG Media is poised to drive substantial growth for KaFe Rocks assets post-acquisition, leveraging its proprietary media and marketing technology. The synergies between the two entities are expected to result in a minimum revenue of MEUR 23 in 2024 for the acquired KaFe Rocks assets, with an EBITDA margin exceeding 45%, translating to a 2024 EV/EBITDA multiple of approximately 3.6x for the acquisition.
Jonas Warrer, Group CEO of GiG, expressed his satisfaction with the completion of the acquisition, stating, “Our goal is to maintain our position as the leading casino affiliate in the industry and to expand further in the North American market. The inclusion of KaFe Rocks aligns perfectly with these objectives. We’ve identified a thriving business led by an exceptionally skilled team. We eagerly anticipate integrating KaFe Rocks into the GiG family, unlocking additional business value to benefit our partners and investors.“
The acquisition will further accelerate the diversification of GiG Media’s business, a key strategic goal for the company, mitigating overall risk by having more customers, websites, and markets to drive revenue growth going forward.
The transaction, valued at MEUR 35, includes a MEUR 15 upfront cash payment and MEUR 20 distributed in four semi-annual payments over 24 months. Additionally, GiG may issue MEUR 2.5 in GiG shares to the sellers in Q1 2024, subject to specific operational cost savings targets being met by year-end 2023, where the number of shares to be issued shall be based on a 30-day VWAP of the GiG share at the time of closing. KaFe Rocks’ assets will be consolidated as of today.
For more information, please contact:
Jonas Warrer, CEO of GiG, jonas.warrer@gig.com , +45 30788450
About Gaming Innovation Group (GiG)
Gaming Innovation Group is a leading iGaming technology company that provides solutions, products, and services to iGaming operators. Founded in 2012, Gaming Innovation Group’s vision is ‘To be the industry-leading platform, sportsbook and media provider delivering world-class solutions to our iGaming partners and their customers. GiG’s mission is to drive sustainable growth and profitability of our partners through product innovation, scalable technology and quality of service. Gaming Innovation Group operates out of Malta and is dual-listed on the Oslo Stock Exchange under the GIG ticker symbol and on Nasdaq Stockholm under the GIGSEK. www.gig.com
SOURCE Gaming Innovation Group
