Toronto-based gaming technology and content supplier Bragg Gaming Group has entered into a definitive agreement to acquire Reno-based Spin Games LLC, the pioneering supplier of iGaming aggregation technology and content founded by gaming supply veteran Kent Young.
Bragg, which is publicly traded on the Toronto Stock Exchange, will pay approximately US$30 million in cash and stock to acquire privately held Spin Games in a merger of the two firms. Under the deal, the sellers of Spin will receive US$10 million in cash and US$20 million in common shares of Bragg, of which US$5 million in common shares will be issued on closing and the balance over the next three years.
The transaction will close following final approval from state gaming regulators and satisfaction of other customary closing conditions.
The merger offers a compelling strategic and financial rationale and is consistent with Bragg’s previously announced strategy to diversify its revenue from European markets and grow its U.S. operations to capitalize on the growing U.S. and Canadian online casino markets, according to a press release from the company. The deal serves to immediately establish Bragg’s U.S. operating footprint, setting the foundation for the company’s growth strategy in the U.S. market.
Spin, through its team of 30-plus professionals, will provide Bragg with immediate technical, product, regulatory and compliance know-how specific to the U.S. market, reducing time-to-market and de-risking U.S. deployment. Following closing, Spin CEO Young, who brings over 30 years of gaming sector executive experience, will immediately join Bragg as president-Americas, and will play a key role in the company’s U.S. market roll-out growth strategy.
Bragg will gain access to key strategic operator relationships in the U.S., including BetMGM/ROAR Digital, Caesars, FanDuel, Golden Nugget, Hard Rock, DraftKings, TwinSpires, Penn National Gaming, Resorts, Parx, Rush Street Interactive, Unibet and WynnBET. The company intends to leverage these key operator relationships to cross-sell its existing casino content currently live in European markets while continuing to develop its U.S.-centric content creation.
Spin’s ROC remote gaming server and casino content are fully licensed and distributed in New Jersey, Pennsylvania and Michigan, and licensed with deployment pending in British Columbia, Canada.
The combined offering of Spin and Bragg’s wholly owned subsidiary Oryx Gaming positions the merged company to deliver an enhanced full turnkey iGaming, sports betting and player engagement platform into the rapidly growing U.S. market. The initial planning of technical integrations between Spin and Oryx are currently under way, and the combined offering delivers the benefits of Oryx’s advanced turnkey Player Engagement Platform with Spin’s technology, local market know-how and U.S. operator relationships.
Additionally, the merger deepens Bragg’s global development resources with Spin’s existing development center located in Chennai, India.
“Spin’s existing state gaming licenses and established integrations with online casino operators, comprising the majority of the U.S. market, uniquely positions our company for future growth in the North American market,” said Richard Carter, CEO of Bragg Gaming. “This transaction lays a strong foundation for our strategy of building a tier-one, vertically integrated iGaming business in the U.S.”
“We have seen from the European market that the ability to deliver best-in-class proprietary content alongside a full turnkey iGaming and player management platform is key to building a successful B2B online casino technology provider. The cornerstone of our future growth strategy will involve bringing best-in-class content in-house during the early innings of the U.S. growth story to position our company for long-term success.
“We believe this transaction will be transformative for the company, providing significant positive impact for our respective employees, customers and shareholders. Spin’s outstanding product and talented team instantly expands our local market footprint and brings a wealth of U.S. market know-how to the group, including valuable product, technical, regulatory and compliance expertise.
“We welcome Kent and the whole team onboard and we look forward to combining Spin and Oryx capabilities to offer new full turnkey gaming solutions in the US and Canadian iGaming industries.”
“On behalf of the entire Spin team, we are pleased to announce this acquisition, which will better position the combined company to expand its support of the rapidly growing U.S. iGaming market with our proprietary and third-party content and our leading remote gaming server technology,” commented Young.
“Since we became one of the first RGS and iGaming content companies approved for online gaming in the U.S., we have grown our footprint in New Jersey, Pennsylvania and Michigan and been approved to operate in British Columbia. In addition to strengthening our support of our existing customers and markets, this acquisition will accelerate Spin’s ability to expand our content library, pursue new markets and leverage our technology to support iGaming here and in new markets as they open.
“We are extremely excited to be joining the Bragg team, and look forward to a highly successful future together.”
In other Spin Games news, the company announced that it has entered into a content licensing agreement with Galaxy Gaming, Inc. to deploy Galaxy’s popular table game content via Spin’s ROC remote gaming server platform to customers in North America.
Under the terms of the agreement, Spin will integrate Galaxy’s premium table game titles for deployment in North American iGaming markets.
“We are pleased to be partnering with Galaxy Gaming to expand our content portfolio with their premium table game content,” commented Young. “As iGaming continues to expand throughout North America, we are focused on expanding the game options we provide to our customers and look forward to integrating Galaxy’s games with our RGS.”
“We’re thrilled to now offer two of the most popular side bets in the world, 21+3 and Lucky Ladies, on Spin’s ROC remote gaming server platform,” said Todd Cravens, Galaxy Gaming’s president and CEO. “This is the first time 21+3 and Lucky Ladies with appear as dual bets in the market. This partnership with Spin Games aligns with our focus to engage and delight players with our proven content wherever they are—at a casino or online.”
