What A Deal: LeoVegas Acquires 22 Gaming Brands!
The Swedish gaming giant LeoVegas has expanded its footprint in the United Kingdom, after successfully completing the acquisition of Intellectual Property Software (IPS) for a consideration of $90.9 million.
With the purchase of IPS, LeoVegas also acquired 22 branded websites operated by the company, 18 of which operate in the United Kingdom, and the other four offer their services to Sweden-based punters.
Yet Another Major Acquisition
This is the third major acquisition in the last couple of months for the Swedish firm, and follows the purchase of a controlling stake in CasinoGrounds – bought for $3.8 million, and the addition of another UK-based brand, Royal Panda.
Commenting on the latest move, Gustaf Hagman, Chief Executive Officer at LeoVegas said it felt great to be able to conduct this remarkable acquisition.
Hagman stated the company was now working with two scalable brands and added that in larger markets, LeoVegas and Royal Panda could be complemented with a local, multi-brand strategy.
He pointed out the UK market was a very large and mature one and stressed that was the reason to work with several brands that attract various types of customers.
An Excellent Move
IPS is one of the most effective brands when it comes to customer acquisition, with 96% of the operator’s revenues coming from the United Kingdom, and 73% through mobile gaming. The company’s revenues recorded a 50% rise in the last quarter of 2017 to $16.4 million.
Hagman said that with this acquisition, LeoVegas was adding a company culture with a strong technology and product focus, which would help the firm to further strengthen the group’s position as the leading game-tech company.
LeoVegas has signed an agreement with Bede Gaming and will continue to use its technical platform.
The latest move is a clear signal that LeoVegas’ market offensive is in full swing. Last November, the company was classified as a “unicorn”, which is a term used to describe a startup valued at more than $1 billion.