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Cost of 32 Red Acquiring nedplay
2/17/10 - The 32Red online casino group, which recently acquired Microgaming-powered but troubled online casinos Nedplay and Golden Lounge, revealed this week that it was a good deal in terms of cost.
32Red plc acquired the assets of the two European-focused online casinos from Floryntia Play Group NV on 21 January 2010 and from Golden Lounge Limited on 12 February 2010, for a nominal consideration.
The business assets acquired in both cases comprise of the player database, software agreements, the domain names and other intellectual property. The sole liabilities assumed by 32Red are in respect of player balances and total a mere GBP115 000.
Ed Ware, CEO of 32Red, said: "Both deals were compelling and similar in many ways, and we expect to be able to integrate both casinos smoothly and quickly into our platform.
"At this stage, it is too early to assess whether the acquisitions will be earnings enhancing in 2010, but they are a good fit as both casinos have historically focused on European territories away from the UK, whereas 32Red continues to be a UK-centric brand.
"We will now apply our award-winning levels of player support, operational discipline and marketing to both brands in the coming months, ahead of evaluating the total number of brands operated by 32Red plc. The sector continues to evolve quickly and 32Red remain committed to capitalising on suitable opportunities that may present themselves.”
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