Each week, CasinoBeats breaks down the numbers behind some of the industry’s most interesting stories. Today we take a look at a US-based lawsuit, All-In Diversity’s second annual survey and an acquisition that had everyone talking.
NetEnt has entered into an agreement to purchase online casino software supplier Red Tiger for an initial £200m, with a potential additional cash consideration of £23m.
The all-cash transaction is to be finalised imminently, and falls in line with the casino content developer’s vision “to create the future of gaming”.
NetEnt is to pay approximately £197m for all Red Tiger shares, with the remaining sum potentially becoming payable in 2022 based upon an earn-out basis, subject to financial performance over the coming two years.
This corresponds to a multiple of approximately 12 times current year EBITDA, with NetEnt’s income for the third quarter of 2019 set to include approximately SEK 55m (£4.6m) of transaction and financing related costs.
Reno-based regional gaming operator Monarch Casino and Resort has stated that a lawsuit filed against the firm by its general contractor, PCL Construction Services, is an effort to deflect attention from its own failings.
The firm, which through its subsidiaries, owns and operates Atlantis Casino Resort Spa in Reno, Nevada, and Monarch Casino Black Hawk in Black Hawk, Colorado, has been undergoing an extensive transformation of the latter.
In February John Farahi, co-chairman and chief executive officer of Monarch, explained that PCL had informed that “the new expanded casino, hotel tower, restaurants and retail areas will be completed in the third quarter of 2019 and that the upgraded amenities in the existing casino will be completed in the fourth quarter of 2019”.
Sticking to the same timeline in April, it was delayed in Monarch’s latest financial report delivered in July, with a portion of phase one then slated for completion in late Q3 or early Q4, as the firm now stipulates 2020’s first and second quarters for finalisation.
Monarch states that it will respond to the lawsuit with “affirmative defenses as well as counterclaims against PCL which will detail their numerous contract and performance breaches”.
The All-In Diversity Project is urging all gaming businesses to take part in its second annual survey, the result of which will be used to create its All-Index report.
Thus far, the group has seen a significant spike in interest year-on-year, with the number of companies that have volunteered to be involved having risen from 25 for the first survey to more than 50 for the second, with time to participate still remaining for those that have yet to.
The All-Index is used to measure and benchmark progress for the betting, gambling and gaming industry when it comes to diversity, inclusion and workplace equality, and is available to any organisation, whether it be an operator, provider/supplier, regulator, association or other entity within the sector, and is comprised of only 45 questions.
Some of the organisations that have taken part thus far include Betfair, GVC Holdings, IGT, Kindred Group, Massachusetts Gaming Commission Paddy Power, Playtech and Red Tiger Gaming.
SugarHouse Casino and its PlaySugarhouse.com entity have become the official sportsbook partners of the Philadelphia Flyers and the franchise’s Wells Fargo Center home.
The property, along with its online and mobile complements, is currently undergoing a $15m rebranding to Rivers Casino Philadelphia, which is to be reflected within the partnership.
The multi-year agreement is to see the creation of two sports lounges inside the 19,500 capacity arena, which are to open in time for the Flyers’ 2019/20 season opener against New Jersey Devils on October, 9.
Furthermore, the deal also forges a marketing partnership that incorporates advertising inside the arena’s bowl and throughout the concourse as well as radio, billboards and digital media placements.