Cherry acquires NorgesSpill.com gaming site
This acquisition will apply from the first quarter of 2016 and onwards
Malta.- Gaming operator Cherry announced the acquisition of the Malta-based company Moorgate Media Ltd., that owns affiliate license agreements in cooperation with Web Resort. As informed in a company statement, the agreement also includes the acquisition of
100 percent of the domain, customer database and gaming site of NorgesSpill.com.
Fredrik Burvall, CEO of Cherry, commented: “We are very pleased to add another acquisition that will further improve Cherry’s results and cash flow. NorgesSpill.com will migrate to the Cherry platform during 2016, and we are confident that we can develop the business further.”
Cherry will pay EUR 4.0 million for 100 percent of the shares in Moorgate Media Ltd that operates the affiliate business. The company also informed that they expect that the acquisition “will have a positive effect on Cherry’s revenues with an estimated EUR 0.4 million as well as a positive impact on EBITDA with an estimated EUR 1.2 million on an annual basis” .
Cherry has also acquired NorgesSpill.com for EUR 0.75 million. which is expected to add another EUR 0.3 million to Cherry’s EBITDA. This purchase “is paid in cash where EUR 0.6 million will be paid during Q1 2016 and the remaining EUR 0.15 million will be paid once NorgesSpill.com has been migrated to Cherry’s platform,” the gaming operator informed.