Galaxy Gaming to purchase Progressive Games Partners
The deal in which Galaxy Gaming purchases Progressive Games Partners gives the former the direct control over iGaming activities.
US.- Galaxy Gaming has announced that it has entered into an agreement to acquire 100% of the equity interests in Progressive Games Partners LLC (PGP). The latter owns the exclusive worldwide online rights to a comprehensive suite of proprietary casino table games.
An integral part of PGP’s success has been founded upon its exclusive online distribution rights for Galaxy’s gaming content, as well as other world-renowned games such as Perfect Pairs and Caribbean Stud Poker through its other licensors.
Galaxy will pay US$12.4 billion to acquire all of the equity interests in PGP. Of the consideration, at least US$6.4 billion but no more than US$10.4 billion will be paid in cash; any amounts not paid in cash will be paid in newly issued shares of Galaxy’s common stock valued at US$1.91 per share.
This transaction will enable Galaxy to more efficiently and effectively exploit the opportunity provided by the rapidly expanding online casino market in the US by both building on our many close relationships with casino groups who are expanding their sphere of operations online, and by gaining exposure to new markets and opportunities through our newly acquired online clientele.
“We see online gaming as a key development and expansion area for our business and believe that our great table games will be received well as more and more markets open iGaming,” said Todd Cravens, Galaxy’s President and CEO. “This transaction positions us in several ways to control our own destiny in online gaming. First, we get direct relationships with the major online players. Second, we get full control of how our own content – and the content we get from others – is licensed to those operators. And we are taking all these steps as online gaming is expanding across the United States. We’re excited by this opportunity and challenge.”
“Galaxy’s games have been our most important revenue producers,” stated Chris Reynolds, PGP’s CEO. “I have no doubt that those games will continue to enjoy great popularity and success in the regulated online gaming markets, and we are already developing our strategy and relationships to ensure that they will be well-positioned to participate in the expanding US market. I look forward to working with Todd and the Galaxy team to continue as one entity the success we have had separately.”
