Thursday December 12,2013 : GAMING REALMS ACQUIRES MARKETING GROUP
GBP 2.2 million to be paid for Quick Think Media Ltd.
Online gambling provider group Gaming Realms plc has closed a GBP 2.2 million deal to acquire marketing firm Quick Think Media Ltd.
In addition, the company revealed that is has conditionally raised approximately GBP 2.4 million through the proposed placing of 11,476,190 new ordinary shares at 21 pence per share with new and existing shareholders. The placing will represent 7.3 percent of the Gaming Realms' enlarged share capital.
QTM is a specialist online gaming marketing agency, with particular expertise in online bingo and casino products, and will support the Gaming Realm strategy to establish itself within the bingo and casino segment of the social gaming market, as well as launch real money bingo and casino games in the UK regulated market.
Over the longer term the Gaming Realms intends to either acquire or develop and launch freemium and real money social and gambling games across multiple platforms, a spokesman said Friday.
"QTM trades profitably and will bring a significant revenue stream to the business. In the year ended September 2013 it made profit before taxation of GBP 228,000 (2012: GBP 193,000) and has gross assets of GBP 119,000," he said.
The aggregate consideration in respect of the acquisition is GBP 2,220,850, comprising GBP 1,470,850 in cash and a deferred payment of 3,571,428 new ordinary shares being the equivalent of approximately GBP 750,000 at a price of 21 pence per share to be allotted and admitted to trading 12 months from completion.
QTM was started by Tom Gooding, Simon Smiley and David Hampstead, who also founded Bejig, the social casino business sold to Gaming Realms earlier in the year, as well as previously working in online casino companies such as Jackpot Joy, Rank and Ladbrokes.
Michael Buckley, executive chairman of Gaming Realms, said: "We are pleased to welcome the QTM team into the Group. Our combined marketing operations will be able to secure new customers over a shorter timeframe and at lower cost across the business, particularly in the new digital channels which are now available.
"In addition, QTM brings a growing profit stream and user base into the Group, both of which can be used to further enhance our brand development activities. The online gaming environment is expanding, particularly in the mobile and tablet space where we are focused, and we are optimistic for the future of the Company."