, one of the leading players in live casino gaming, has offered to acquire its direct rival NetEnt
, in a $2.1 billion deal. NetEnt has publicly expressed its interest in the deal, stating that the board of directors unanimously nodded to the agreement.
If all goes as planned, the acquisition and subsequent merger of the two companies will increase their position in the US online gambling market
. So, we’ll see the merger of the two leading live casinos and online casino software providers within a few months. Assessing from the quality content each entity delivers, many analysts believe the epoch will bring online gambling to another level.
Evolution Gaming to Acquire NetEnt
The unexpected news came around the end of June when two leading online gambling companies hinted at the merger. Evolution Gaming, a leader in live casino gaming, sent an explicit acquisition $2.1 billion deal to NetEnt, another giant in online slot games.
The initial offer of $2.1 billion was based on the closing prices of NetEnt’s shares in June of $8.69. If NetEnt had accepted the offer in November, Evolution Gaming would have own 90% of NetEnt’s shares.
On June 23, 2020, the same date on whose share prices determined the initial offer of $2.1 billion, the NetEnt stated that the boards of directors approved the deal unopposed.
Interestingly, both companies announced there are no plans on cost-cutting, and there will be no revolutionary change to their operations. Significantly, the combined workforce will also keep going as before.
Evolution Gaming was confident that after acquiring NetEnt along with its employees and management, the combined workforce will be integral to further the group’s success.
Why is Evolution Gaming Buying NetEnt?
The official statement suggests that the deal was aimed at casting a wide net, especially in the US. Viewing both companies’ formidable US growth in Q1, it should come as no surprise that the merger deal could catapult Evolution Gaming to the top spot in the US online casino market.
Jen Von Bahr, Evolution Gaming’s Chairman, stated,
“NetEnt’s established US positioning combined with Evolution Gaming’s existing US studios, and the first-to-regulated-market strategy will put in a favorable position to capitalize on the ongoing regulation in North America.”
An Emerging World Leader in Online Casino
Both Evolution Gaming or NetEnt needs no introduction as they are among the top online casinos
. Before the merger, both have been leading in their own spheres. Now with this deal, we will see a new world leader in the online gambling market.
NetEnt’s Chairman Mathias Hedlund stated:
“With this, there are unique possibilities to shape a leading global B2B provider of online casinos… Evolution’s position with Live Casinos, combined with NetEnt’s position within online slots, will create a company well-positioned to take significant market share.”
With Evolution Gaming’s popular live dealer games
, and NetEnt’s renowned video and progressive slots, the North American players may now enjoy all fun in one place.
The Beginning of an Online Evolution
Indeed, it’s the beginning of an online evolution when you consider the merger of two direct rivals in the gambling industry. Especially when considering during the last few years, NetEnt also began offering live casino games.
With the two rivals combining their forces, resources, experiences, and gaming options, online casino players will enjoy the double fun on a single platform now.