Netent was founded in 1996 by Pontus Lindwall. Originally the name of the company was Net Entertainment but it was changed to Netent in 2015. Sometime later, Lindwall convinced Cherry and Kinnevik to invest in Netent for its future growth. These investors later parked nearly 75 million SEK into this newly formed company and this is how Netent developed into a company that we know today. Presently, this company works with several gambling operators and you can read more about its business at topnetent-casinos .
Red Tiger details
Unlike Netent, Red Tiger is a later entrant into the igaming arena. It was founded in 2014 by a few online gambling professionals. Within a short time of its launch, Red Tiger has tied up with several gambling operators in Asia and Europe. Some of its notable partners are Betfair, Betsson, VideoSlots Casino, etc. The Red Tiger talent pool comprises several game designers, engineers, psychologists, animation experts, quality assurance experts, audio engineers, etc. Find out more about Red Tiger Gaming at https://www.afreshopinion.com .
Over the years, Red Tiger has bagged several awards that acknowledge its commitment to high standards. Take a look at this award lineup. In 2017, this online gambling major lifted its first EGR B2B award in London. This award was given for Red Tiger's innovation in the online slots category. While giving away this award, the judges said they were impressed by the Daily Jackpots feature that rewarded players at set times. This feature has boosted Red Tiger's revenues and client base dramatically.
Besides winning awards, Red Tiger has been rolling out several initiatives in association with its gambling partners. In March 2020, the company told the press it was rolling out its full games portfolio with Glitnor. In other news, Red Tiger integrated its games offering with Sky Vegas. By this integration, both the operators will leverage their collective strengths while reaching out to each other's audiences. All the Red Tiger games are available on mobiles, desktops, and tablets and have been developed using the HTML5 technology.
Netent-Red Tiger Merger
This merger was announced in 2019 by Netent. As per the terms of this deal, the company has paid nearly 200 million GBP to acquire 100 % shares of Red Tiger. Depending upon the latter's financials, Netent would pay another 20 million GBP in 2022. Through this acquisition, Netent would use Red Tiger's clout in the Asian online gambling markets. On the other hand, Red Tiger would leverage Netent's reach to enter new markets. The effect of this acquisition would also show on Netent's EPS.
- Red Tiger was founded by the team behind Cayetano Gaming
- The acquisition cost represents 12 x the earnings of the supplier before EBITDA.
Disclosing the details of this deal, Netent said it would incur an additional finance-related cost of 55million SEK. This deal was financed by Nordea and Danske Bank. Lazard Capital was the lead advisor to this merger. Post this acquisition, several redundant jobs would have to be either closed down or reduced. This would have a positive impact on the new entity's financial performance. Netent has tie-ups with more than 200 gambling operators and has offices in Europe, North America, Malta and Gibraltar.