Hanover Investors has acquired eCOGRA, a leading independent and internationally approved testing and certification agency for the online gambling industry.
eCOGRA focuses on using its in-house certification methodologies and expertise to enable player protection, fair gaming and responsible conduct by operators and software providers through its Generally Accepted Practices (eGAP).
In regulated markets, gambling operators, games developers and relevant service providers must work with approved independent testing laboratories, such as eCOGRA, to ensure their products are continuously certified as compliant with local rules and regulations.
eCOGRA offers testing and inspection services, cybersecurity assessment, product certification and accredited ISO/IEC 27001 information security management certification.
It is an approved testing agency and certification body for more than 30 jurisdictions across Europe, North and South America and Asia. It has also been approved to provide alternative dispute resolution to gambling operators licensed by the Great Britain Gambling Commission or the Malta Gaming Authority.
“We believe the market and competitive dynamics that have supported eCOGRA’s growth and margin profile will continue, with further upside from expansion into markets around the world,” said Matthew Peacock, founder and chairman of Hanover Investors.
“The U.S. represents a particularly significant opportunity following federal legislation changes in 2018, triggering the liberalization of gambling laws at a state level. Hanover looks forward to investing in and enhancing its commercial capabilities including through mergers and acquisitions.”
Shaun McCallaghan, CEO of eCOGRA, added, “We are delighted to be coming into the Hanover Investors’ fold. The firm has a recognized track record of unlocking value and catalyzing the growth of other companies in its portfolio. We look forward to benefiting from the operational expertise that it will provide to our business as we look to further scale geographically.”
eCOGRA was acquired for an undisclosed sum via Hanover Active Equity Fund II. Peacock will become chair of eCOGRA’s board.
Investec Growth & Leveraged Finance provided the debt financing to support the transaction.
