GAN Acquires Silverback, Increasing Online Casino Games Portfolio

Posted on: December 9, 2021, 10:55h. 

Last updated on: December 9, 2021, 12:18h.

GAN Ltd. (NASDAQ:GAN) announced today it’s acquiring online casino game developer Silverback Gaming — a deal that adds to the buyer’s roster of internet casino games.

GAN Silverback
GAN stock highlighted at the Nasdaq market site. The company is buying Silverback Gaming to add to its iGaming roster. (Image: Nasdaq)

Financial terms of the transaction weren’t disclosed. Privately held Silverback has offices in Bulgaria and the UK.

The acquisition provides GAN with the exclusive rights globally to all current and future Silverback online games, which the Company expects will include 50 unique new slot games in the next three years,” said the buyer in a statement.

Silverback will be added to GAN’s SuperRGS offering, which debuted in the US last month. The former’s existing portfolio of online slot games will launch on SuperRGS in the first half of 2022.

Silverback online slot games include Aztec Luck and Mystery Stack, and the company’s offerings are available in regulated European markets. More than 100 business-to-consumer (B2C) iGaming operators offer Silverback games.

iGaming Deal-Making Still Hot

In the fast-growing internet casino space, content and technology are prized, explaining why the pace of consolidation in the industry remains brisk.

That’s even more true at a time when much of the consolidation in the online gaming industry is revolving around buyers getting their hands on technology to fortify their in-house tech stacks. That’s exactly what Aristocrat is doing in acquiring Playtech.

Thirteen months ago, GAN acquired Vincent Group Plc, also known as Coolbet, for $175 million in cash and equity. Coolbet offers live money sports wagering and internet casino services. That deal fortified GAN’s European footprint, while helping the company get into Canada and Latin America.

“The Silverback acquisition is part of GAN’s content acquisition strategy to increase the Company’s overall ‘take rate’ on existing B2B Gross Operator Revenue derived from iGaming, as well as growing GAN’s share of iGaming revenues from B2C operators in the U.S. who are not already platform clients of GAN,” said the company.

GAN Staying Active

GAN is a gaming software-as-a-service (SaaS) provider focusing on the real money internet gaming, online sports betting, and simulated gaming segments.

With some analysts saying the US internet casino/sports betting opportunity could reach $30 billion at maturity, back-end technology is essential. On that note, it’s not surprising GAN is active when it comes to bolt-on acquisitions and other deals.

In October, GAN said it inked an accord with the casino operator “to build and deploy the infrastructure for Station’s ‘STN Sports’ online sports platform, mobile applications, and retail Over-the-Counter and Kiosk-based sports betting throughout Nevada.”

The company didn’t say if the Silverback acquisition will be accretive to earnings.