Net Gaming to acquire affiliate assets in DACH
Net Gaming has signed a letter of intent to purchase a number of affiliate assets across Germany, Austria and Switzerland (DACH).
The initial purchase consideration of €2.3m ($2.8m) will be settled with cash resources, but an additional payment of €1.3m may be required should the assets achieve a certain EBITDA over the 12 months after the transaction goes through.
Net Gaming, which owns various online comparison sites, said the assets have shown “strong growth” and expects the operations to generate quarterly sales of around €200,000, with an operating margin of approximately 75%.
RB Capital is acting as the sell-side advisor for the transaction, which remains subject to a diligence process.
Marcus Teilman, chief executive of Net Gaming, said: “I am very pleased that we have the opportunity to strengthen our position in the DACH region; this is an exciting market which we consider to have good growth opportunities ahead.
“In addition, completion of this transaction will give us further opportunities to grow our existing operations in the region, and expand these assets to other markets.”