Playtech has entered into a deal valued at up to €50 million to acquire Quickspin, a leading Swedish games studio.
A week after Playtech revealed that it managed to achieve expected growth levels in the first 53 days of the year, the company announced that it will pay a maximum amount of six times Quickspin’s earnings before interest, tax, depreciation and amortization, which will be subject to a cap of €50 million.
The purchase price will consist of an initial payment of €24 million for 100 per cent of the share of Quickspin on a cash-free and debt-free basis with the remaining maximum consideration of €26 million payable by Playtech on an earn-out basis by reference to Quickspin’s EBITDA in 2017 and 2018.
Quickspin is headquartered in Stockholm and currently has a portfolio of 20 games. The company develops video slot games for online real-money as well as for social gaming markets.
According to Playtech the acquisition of Quickspin will provide it with a “proven virtual slot machine games portfolio” and that it intends distributing Quickspin’s content through its existing distribution channels across all verticals.
Mats Westerlund, Joachim Timmermans and Daniel Lindberg, the founders of Quickspin, will stay on at the company for at least three years from completion.
Mor Weizer, CEO of Playtech, said that Quickspin is a fast-growing and leading supplier of the highest quality games to the highest quality operators and they are looking forward to working with the Quickspin team.