Sweden's Evolution Gaming to buy Big Time Gaming

Credit: REUTERS/Kai Pfaffenbach

Live casino provider Evolution Gaming said on Monday it had agreed to buy Australia-based online slot machine developer Big Time Gaming for up to 450 million euros ($534.8 million).

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STOCKHOLM, April 12 (Reuters) - Live casino provider Evolution Gaming EVOG.STsaid on Monday it had agreed to buy Australia-based online slot machine developer Big Time Gaming for up to 450 million euros ($534.8 million).

Big Time Gaming, whose game titles include Bonanza and Extra Chilli, had revenues of 33 million euros in 2020, and made an operating profit (EBITDA) of 29 million.

Evolution Gaming, which develops and licenses casino games such as online slot machines and roulette games, said the total up-front consideration was 220 million euros, of which it would pay 80 million in cash and the rest in newly issued shares.

It added that it would pay earn-out payments of a maximum of 230 million euros, based on Big Time Gaming's operating profit in 2022/23 and 2023/24.

"The transaction is estimated to contribute positively to 2021 EPS for the Evolution Group," Evolution Gaming said in a statement.

The company, which last year bought Swedish peer NetEnt in a $2 billion deal, added that completion of the transaction was expected during the second quarter.

($1 = 0.8415 euros)

(Reporting by Helena Soderpalm; editing by Niklas Pollard)

((helena.soderpalm@thomsonreuters.com; +46 8 700 10 15; Reuters Messaging: helena.soderpalm.reuters.com@reuters.net))

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