Evolution has moved to bolster its in-house table game offering, following an agreement for the acquisition of Galaxy Gaming for approximately $85m.
It’s a move that underlines Evolution’s ambitions for the US market, building on the presence of one of the market’s key players in terms of supplying proprietary table games to the online gaming industry.
Martin Carlesund, CEO Evolution AB, commented: “We are thrilled to announce the acquisition of Galaxy Gaming, which represents a significant milestone in our mission to provide unparalleled gaming experiences to our customers. Galaxy Gaming’s exceptional products and technology complement our existing portfolio and strengthen our strategic position.”
Furthermore, it also deepens the company’s focus in the US, having recently expanded its live casino presence in Delaware through a collaboration with BetRivers. Galaxy is currently licensed in 28 states, enabling the rapid growth of Evolution’s US footprint.
Carlesund added: “Evolution intends to retain the management and employees and also plans to operate Galaxy Gaming as a separate and independent business unit.
“With the acquisition, we accelerate and solidify our presence in the US market where Galaxy is licensed in 28 states. Through Galaxy we gain a relationship with regulators in states that are not yet open for online and fast-track all future licensing. Galaxy holds over 130 licenses in total world-wide. Galaxy has a diverse portfolio of great games that further will strengthen Evolution’s games-portfolio and secure access to the fantastic titles that our future players are accustomed to already today.”
It’s a deal that builds on the rapid acceleration of the Evolution offering, as it benefited from the launch of a myriad of new games during the first half of the year.
“We believe this transaction represents the opportunity to unite two world-class customer-focused teams in a way that will benefit all stakeholders”, added Matt Reback, President and CEO, Galaxy Gaming.
He continued: “It combines Galaxy Gaming’s thriving land-based business, driven by our industry-leading games and progressive technologies, with Evolution’s global reach and innovative online gaming leadership.
“For years, our collaboration has successfully delivered popular games like 21+3 and Lucky Ladies to millions of players in regulated igaming markets globally.
“This acquisition by Evolution empowers Galaxy to sustain and maintain its independence while continuing to focus on growth and expanding its operations, leveraging Evolution’s operational and financial strength to facilitate product sharing and drive cutting-edge omni-channel innovation.”
Live casino growth
In the most recent set of Evolution results, it revealed key growth for its live casino output, which increased by 18 per cent to €438.1m, compared to the correlating Q2 period last year.
This also came amidst the expansion of tables and scaling up of studios for the company, as it underlined the vital nature of evolving traditional games and providing new avenues of engagement for players.
Carlesund added: “Revenue from live casino increased by 18 per cent year-on-year, and we maintain full focus on increasing our delivery capacity and expanding our studio network. During 2024 we expect to go live with our first tables from the new state-of-the art studios in Colombia and the Czech Republic.
“Today we operate over 20 studios around the globe, creating a unique capacity to deliver both volume and variation of our world-leading games to customers. After two quarters heavily focusing on expansion, the second quarter was one of consolidation with a slightly lower margin as new resources were gradually coming up to speed. We expect a more normalised expansion of staff during the second half of the year.”
