Global B2B online gaming technology and content provider Bragg Gaming Group on Wednesday said it has acquired Wild Streak Gaming.
Wild Streak is a Las Vegas, Nevada-based content creation studio with a portfolio of 39 casino slot titles across online and land-based applications.
Bragg said it signed a purchase agreement to acquire all of the outstanding membership interests of Wild Streak in a cash and stock transaction for a purchase price of approximately $30m.
Pursuant to the transaction, which closed with the signing of the purchase agreement, the sellers of Wild Streak received $10m in cash and will receive $20m in common shares of Bragg over the next three years, subject to acceleration in the event of a change of control.
According to Bragg, Wild Streak has created games for the largest US land-based slots manufacturers and designed the games and mechanics behind several well-known land-based slots titles and brands along with successful games in both social and real money online casinos.
Bragg said Wild Streak’s library of land-based content will be customized for the US online market, along with building upon existing high performers such as Dragon Power.
Wild Streak reported $1.05m in revenue and $233,000 of EBITDA in FY2020, and $487,000 in revenue and $241,000 of EBITDA in Q12021.
Doug Fallon, founder and CEO of Wild Streak, is described as a renowned land-based slot designer with more than 20 years of industry experience. He worked in several executive marketing and design positions over more than 11 years at Aristocrat before founding Wild Streak.
Effective at closing of the transaction, Fallon will join Bragg as MD of group content. Bragg said Fallon will play a key role in leading the company through its US content creation strategy while collaborating closely with the company’s European development staff to facilitate the cross-selling and repackaging of Bragg’s proprietary European content for US operators.
On May 12, Bragg announced its pending acquisition of Spin Games. Richard Carter, CEO of Bragg Gaming, said the two transactions advance Bragg’s acquisition strategy by increasing its ability to distribute and develop high-quality online casino content to the US market in-house.
“Upon the completion of the Spin and Wild Streak transactions, Bragg will have successfully executed on its strategy of acquiring the essential resources and technology assets required to become a tier one vertically integrated B2B online gaming business operating in the US and Canadian markets,” the company said in a statement. “Bragg’s consolidated operations will comprise an enhanced full turnkey online gaming, content delivery and player engagement platform with integrations into the majority of the tier one operators across both the US and European markets, and a robust in-house content development function with localized market expertise that will allow the company to expand its proprietary content offering.”
Carter added, “In an industry where premium content is king, Doug and his team have built up an enviable track record of developing leading premium casino slot content for both the land-based and online casino industry. We look forward to integrating this know-how into Bragg’s overall offering and significantly expanding the company’s higher-margin, proprietary in-house casino slot content capabilities.”
According to Carter, the Wild Streak acquisition will be materially enhancing to Bragg’s revenue and EBITDA in the first full year of ownership, as well as strategically compelling.
“Richard and the Bragg Gaming executive team have put in place the strategy and key components to accelerate their growth and market share in the online gaming market, and Wild Streak is excited to be a cornerstone for their growth strategy,” said Fallon. “We are highly impressed with the ORYX Gaming technology stack’s robust foundation and their roadmap for additional capabilities in development. We are looking forward to working with the ORYX team to create unique player experiences as we embed their technology into our game designs.”
Fallon noted much of the historical content designed for Europe does not resonate with the traditional American player. “We believe our background is an ideal fit with for the Bragg Gaming Group as it focuses on this emerging market.”
