Gaming Realms Acquiring RealNetworks

UK online gambling group Gaming Realms plc has announced it is acquiring Seattle-based RealNetworks for $18 million. The group wants to use the company to develop online gambling products for its Slingo brand.

Gaming Realms has initiated an million acquisition of Seattle-based media distribution service provider RealNetworks in order to develop real-money gaming products using the Slingo brand.

Gaming realms will make a $10 million payment and then two payments of $4 million one year and two years after the deal is completed respectively.

To fund the initial consideration of the acquisition, Gaming Realms has issued 50 million new shares in the company at 25 pence per share to raise GBP12.5 million, which will fund up to $14 million of the total price.

Gaming Realms will acquire GameHouse US & Canadian Game studios; the Social & Mobile Freemium portfolio of games & publishing network; the Slingo Brand & associated patents; certain game domains including &; an intellectual property license relating to the GameHouse Promotion Network & the entire issued share capital of Backstage Technologies.

The company says the deal will give it an entry point into the North American market and the Slingo brand will allow the company to enter the social casino market.

“Slingo is a well-established brand and has already benefited from sitting on our platform alongside our Pocket Fruity and Spin Genie brands. The addition of Slingo to our existing portfolio creates an exciting player offering,” said Patrick Southon, chief executive of Gaming Realms. “The directors believe that the acquisition will transform the group into an international, multi-brand developer in real and casual gaming and that it will greatly enhance the Group’s capabilities in development, distribution, marketing & ownership of intellectual property.”

Gaming Realms plans to use Slingo to launch a new real-money gambling product through its Spin Genie product.