International Game Technology on Monday said it has entered into a definitive agreement to acquire iSoftBet, an iGaming content provider and third-party game aggregator.
The purchase will be for approximately €160m ($173.9m) in cash, the parties said.
iSoftBet said it generated revenue of approximately €30m and EBITDA of approximately €8m during its 2021 fiscal year.
The iSoftBet portfolio reportedly contains approximately 125 proprietary games and more than 4,600 third-party games through the iSoftBet proprietary game aggregation platform.
With primary office locations in England, Malta and Romania, and approximately 350 employees and contractors, iSoftBet noted it has approximately 260 iGaming operators as customers and its games are certified by 20 European regulators.
The acquisition is expected to be completed during the second quarter of 2022, subject to the satisfaction of customary closing conditions, the two companies said.
According to IGT, the acquisition will more than double the IGT PlayDigital content library to approximately 225 proprietary games, in addition to providing a proprietary game aggregation platform to distribute third-party games, along with data-driven promotional and user-engagement tools.
Oakvale Capital LLP is acting as lead financial advisor to IGT. Wachtell, Lipton, Rosen & Katz is acting as legal advisor to IGT, and KPMG LLP is acting as tax and financial due diligence advisor to IGT.
M. Firon & Co. and Wiggin LLP is acting as legal advisor to iSoftBet. BDO Israel is acting as independent registered public accounting and tax firm of iSoftBet.
“The acquisition of iSoftBet will provide market-tested proprietary digital content, advanced game aggregation capabilities, scalable promotional tools, analytics and strong creative talent to IGT's PlayDigital operations,” Vince Sadusky, IGT CEO, said in a statement. “This will enhance PlayDigital’s competitive capabilities with a proven, complementary content portfolio across Europe and North America as we provide games and technology to our fast-growing iGaming customers.”
