The Sir Jackpot and Live Lounge acquisition is Spiffbet’s seventh acquisition in the same number of months, resulting in Spiffbet currently operating ten European online casino brands in parallel with the development of original games under the STHLM Gaming and Spiffbet Casino brands.
Back in March last year, Spiffbet announced its intention to become the engine of consolidation of the European online casino market. The initial strategy is to grow through acquisitions to achieve synergies and economies of scale. The next step is to develop the acquired brands and expand operations in emerging markets.
Spiffbet has signed an agreement with Livelounge Ltd, a company registered in the British Virgin Islands, to acquire Sir Jackpot and Live Lounge online casinos for a maximum amount of SEK 2.5 million. The deal means that Spiffbet acquires the rights to the sirjackpot domains.com and livelounge.com with related customer databases and other intellectual property rights.
The acquisition will be completed with two payment tranches. One tranche consists of a promissory note in the amount of SEK 2 million, which must be redeemed in about two months, either in cash or by setting off newly issued shares of Spiffbet. The second tranche through a cash payment of SEK 0.5 million will be paid if certain conditions are met by June 30, 2020.
Henrik Svensson, CEO of Spiffbet, stated:
“We continue to pursue our growth and acquisition strategy. Sir Jackpot and Live Lounge contribute to our existing business, both through sales and profits, which allows us to allocate fixed costs to a larger revenue base and strengthen our bargaining power with suppliers and partners. “