he deal is expected to be completed by the end of February and under its terms, Gaming Realms would receive £1.2 million in cash payment from Blackspark as well as the additional amount of £500,000 for transitional services over a five-month period.
Apart from this, the gaming developer would also be paid a total consideration of £1.2 million by Silverspin Media. Gaming Realms said that the sum received would be offset against the latest earn-out payments to Blueburra Vendors, or the selling shareholders, to be more precise, as part of the company’s agreement with the former owners of the above-mentioned website properties.
Thus, upon completion of the deal, the final consideration of £1.2 million would be settled via the issue of a total of 4.8 million shares at a price of £0.25 pence per share.
The websites Gaming Realms has sold to Silverspin Media generated overall losses of £430,000 for the fifteen months ended December 2014. As mentioned above, the transaction is expected to be completed before the end of the month.
The London-headquartered developer of online casino content said that it would retain its Bingoport online bingo media portal as it has proved to be a profitable asset. In addition, Gaming Realms stated that its proceeds from the website would be invested in the development of new gaming titles. Certain finances would be spent on bolstering marketing campaigns.
Gaming Realms CEO Patrick Southon said in a statement that the company’s focus on investing in their mobile platform and achieving major success in the creation of mobile gambling content has been delivering “stronger returns.” The executive further added that end-to-end control over their current offering has resulted in the creation of new exciting opportunities in the UK and the US gambling markets and this has turned into the company’s top strategic priority.