Breaking news: NetEnt, the powerhouse slot developer behind titles such as Gonzo’s Quest and Starburst, acquires Red Tiger Gaming in a deal worth up to £220m.
Red Tiger Gaming is the pioneering slot studio behind games like Arcade Bomb and Totem Lightning, and also created the popular “must drop” daily jackpots that pay out before a set time each day.
NetEnt has purchased Red Tiger Gaming in an all-cash deal with an initial payment of £197m for 100% of the shares of the company.
A further amount of up to £23m may be payable in 2022 if Red Tiger Gaming hits certain financial targets – earnings for the full 2019 year are expected to be around £18m.
NetEnt said the acquisition was in line with its vision to “create the future of gaming” and that the deal will allow it to capitalise on its scalable technology to support growth.
This is what NetEnt’s Group CEO had to say about the deal:
I am very pleased to welcome Red Tiger into the NetEnt Group. The acquisition combines two of the leading and most innovative companies in the online gaming industry.
We look forward to working with Red Tiger’s fantastic team to enhance our combined global reach and to offer further value to operators and players.
And Red Tiger Gaming’s CEO has this to say:
This is an exciting new stage of the Red Tiger story and we are delighted to become part of the NetEnt group.
At Red Tiger we’ll remain focused as always on driving further innovation and we are looking forward to working with NetEnt on how to leverage our combined capabilities to create new products that wow our customers.
Red Tiger Gaming was founded in 2014 and employs more than 170 people across offices in Malta, the Isle of Man and Bulgaria.