Playtech plc
("Playtech" or the "Company")
Acquisition of Yoyo Games Limited
Playtech (LSE: PTEC) the international designer, developer, licensor and provider of software and services for the online, mobile, TV and land-based gaming industry, today announces the acquisition of UK-based Yoyo Games Limited ("Yoyo").
Yoyo, which is headquartered in Dundee, is the home of Game Maker: Studio™ ("GMS"), a mobile driven cross-platform casual game development technology that enables developers to create games using a single programming code and then publish them to run natively across most common platforms, including iOS, Android, OS X, HTML5, PlayStation, Xbox, Ubuntu, Windows 8, Windows Phone 8 and Windows RT. The entire Game Maker family of products has been downloaded more than five million times.
GMS enables game developers to create cross-platform games in hours with a user-friendly intuitive platform. Given the simplicity of the platform and its capabilities, GMS has secured more than 750,000 registered games developers who currently use the platform on a freemium basis with chargeable add-ons.
The consideration for the acquisition, which will be funded from Playtech's existing cash balances, is US$16.4 million, of which 30% will be held in escrow for up to 36 months after closing to provide security in respect of claims. In addition, an earn-out consideration and a retention plan is expected to add a further US$5.25 million to the aggregate cost.
The acquisition of Yoyo is part of the Company's strategy to penetrate the casual gaming space, which already includes Plamee - an internal games development team employing more than 120 casual games developers with extensive knowledge and a proven track record in the development of casual games, which was established in early 2014. Playtech's directors believe that the continued development of the GMS technology within the Company will enable it to extend beyond the current games developers base, and will fit well with its in-house casual team, extending its expertise and know-how in the development of casual games, marketing systems and related infrastructure. This acquisition will enable the Company to further diversify its business, benefiting from a combined B2B/B2C offering focused on a strong and growing segment of the wider gaming market.
The acquisition will complete a three-pronged strategy into the casual games market, including: the Company's experienced in-house games development studio; publishing of both in-house and third party games; and games technology, which includes Yoyo.
- Ends -
For further information contact:
Playtech plc Mor Weizer, Chief Executive Officer Ron Hoffman, Chief Financial Officer c/o Bell Pottinger Adam Kay, Head of Investor Relations |
+44 (0)20 3772 2500 +44 (0)20 7428 1776 |
Bell Pottinger David Rydell / Olly Scott / David Bass / James Newman |
+44 (0)20 3772 2500 |
About Playtech
Playtech develops unified software platforms and content for the online and land-based gaming industry, together with providing a range of ancillary services such as marketing, CRM services and hosting.
The Group's capabilities enable the delivery of an integrated software or turnkey solution, with players accessing online, broadcast, mobile and server-based gaming terminals through a single account.
New licensees include existing online operators upgrading or diversifying their offering, land-based casino groups, government sponsored entities such as lotteries, and new entrants making their online gaming debut, particularly in newly-regulated markets.
Founded in 1999, Playtech is listed on the London Stock Exchange and has more than 3,900 employees located in thirteen countries. Its leading gaming applications include casino, bingo, poker, sports betting, live, mobile and social gaming, casual and fixed odds games.
www.playtech.com
