Gaming Innovation Group Inc. is pleased to announce the successful completion of its acquisition of KaFe Rocks Ltd., a prominent affiliate leader in the iGaming industry, referring to GiG's announcement on November 7, 2023. This strategic move positions GiG Media, GiG's media division, as a dominant force in online casino alliances and strengthens the business's foothold in the lucrative North American market.
Building on the success of the acquisition of Askgambler, GiG Media is poised to leverage its proprietary media and marketing skills to drive significant growth in KaFe Rocks assets after the acquisition. Due to synergies between the two companies, the acquired KaFe Rocks assets are expected to have a 2024 minimum revenue of EUR 23 with EBITDA margin exceeding 45%, and for the acquisition, EV/EBITDA multiples in 2024 are expected to be approximately 3.6 times.
Jonas Warrer, Group CEO of GiG, said, "Our goal is to maintain our status as the leading casino affiliate in the industry and expand further in the North American market. Including KaFe Rocks is perfectly aligned with this goal. We identified a thriving business led by a highly skilled team. We eagerly look forward to integrating KaFe Rocks into the GiG family, providing additional business value that benefits partners and investors."
The acquisition will further accelerate the business diversification of GiG Media, the company's core strategic goal, and mitigate overall risks by gaining more customers, websites and markets in the future.
The transaction, valued at MEUR 35, includes 15 MEUR prepayment cash and MEUR 20, distributed in semi-annual payments over four 24-month periods. Additionally, GiG can issue MEUR 2.5 to sellers in the first quarter of 2024, meeting certain operational cost-cutting targets by the end of 2023, where the number of shares issued must be based on the 30-day VWAP of GiG shares at the close. Capi Locks' assets will be consolidated as of today. 바카라사이트