LL Lucky Games to buy game studio ReelNRG
LL Lucky Games, the owner of Lady Luck, has signed a letter of intent to acquire the game studio for SEK8.3m (€800,000)
Sweden.- LL Lucky Games has agreed to pay SEK8.3m (€800,000) to purchase the game studio ReelNRG. It will pay the price of 2.5 million newly issued shares at SEK3.30 per share. At closure, LL Lucky Games will have 51,366,506 issued shares.
Founded in 2016 by Calvin Kent and Harsharan Gill, ReelNRG has licences in Great Britain, Gibraltar and Malta. It has a portfolio of 46 games and a staff of nine, including eight developers at its studio in Hyderabad, India.
Kent said: “To get LL Lucky Games as the new owner of ReelNRG marks an important new start for us. The additional support from LL Lucky Games will bring us back stronger than ever and enable an improved delivery of our entertainment packages to our clients and their customers.
“Our new server infrastructure has now been completed and optimized and is ready to scale. Our team and our shareholders are super motivated to continue running the business as part of LL Lucky Games.”
ReelNRG’s co-owners include the Klein Group, parent company of Cherry AB, Yggdrasil and ComeOn. The studio will continue to operate independently, but LL Lucky Games predicted synergies from cross-selling, cost optimization and “the opportunity to share technology and licences in the future”.
Mads V. Jørgensen, chief executive of LL Lucky Games, said. “Through the acquisition of ReelNRG, we secure important customer integrations and licences for the LL portfolio. As a merged company, we now operate over 100 games and will be able to derive great mutual benefits from both the commercial synergies via cross-selling, but also on the cost side.
“This is a big step for LL Lucky Games, which further consolidates our position as a truly independent gaming studio that focuses on the regulated markets. To operate via own licences secures larger revenue shares and market reach. We look forward to welcoming Calvin and his team together with Klein Group and the other shareholders in ReelNRG.”
It’s the latest in a series of deals for Lady Luck’s parent company. In November the Stockholm-based company signed a letter of intent to acquire the UK game studio Revolver Gaming with a mix of €750,000 in cash and around 4,200,000 newly issued shares with a stock price of SEK3.00.
Revolver Gaming develops HTML5 games and distributes its content through its own RGS platform. It has 15 games and almost 30 integrations in Europe, South America and Asia.
Two months earlier, Lady Luck Games had signed a letter of intent to buy gaming content provider Spigo ApS’s Danish-facing operations. Lady Luck plans to add two new operational partners, Carl Waahlin and John Penntoft.
