Acquisition of Pariplay by Aspire Global Finalized for Over $14 Million

Acquisition of B2B supplier, Pariplay, by online gaming solutions provider, Aspire Global, has been finalized. The of the deal were set back in June, and by these conditions, the provider has purchased 100% of the shares in GMS Entertainment Ltd, the owner of Pariplay, for $14.4 million.

The provider said the acquisition of this supplier will enable it to control another part of the iGaming value chain. In turn, that will help create synergies, broaden its game portfolio and also provide a channel to distribute and sell propriety games outside of its partner network, in line with its M&A strategy.

Aspire expects from the deal to have a positive effect on earnings before interest, tax, depreciation, and amortization as of 2020.

On the other hand, the brand doesn’t expect to have any material effect on its financial results for 2019.

Valuable Acquisition

Pariplay’s game portfolio includes hundreds of proprietary game titles as well as more than 2,000 games acquired from various third-party providers.

Since its content is certified for several regulated markets in Europe, it has a wide web of players who prefer their games. This supplier has also been cleared for an iGaming certification in New Jersey in the US.

Due to the supplier’s success in the gaming industry, it is clear why this acquisition is a valuable purchase for Aspire, which the company has confirmed:

“We are excited to welcome the Pariplay team to Aspire Global. The acquisition of Pariplay is in line with our M&A-strategy focusing on B2B-growth and external game sales.

The integration of Pariplay grants us control of yet another crucial part of the iGaming value chain – cutting costs, broadening the game portfolio and providing a channel to sell and distribute propriety games outside Aspire Global network.

Moreover Pariplay holds an iGaming license for New Jersey, which could act as the spearhead of our future efforts to enter the US market,” said the provider’s chief executive, Tsachi Maimon.

A Prior Deal

Back in June, Aspire made a deal with Pariplay’s parent company, GMS Entertainment regarding the purchase of their assets for $14.9 million.

At that time, Pariplay’s Chief Executive and founder, Gili Lisani, saw this acquisition as the logical next step in its brand growth. In the press release, he said that the company has come a long way since its founding in 2011, and thanked the whole team for their intense efforts and strong commitment over the years.

In the same statement, he added that he is confident about sending the company off for the next phase of the growth-journey and that he strongly believes that the match with Aspire will allow both operations to reach whole new levels.

Just one month after the acquisition deal with Aspire was signed, Pariplay secured a license by Romania regulator, allowing it to provide its online game content in the country. By purchasing the brand, Aspire will now have access to this market as well, as for any markets that the supplier was certified in.

It will be interesting to see what will happen in Sweden since the companies have very different experiences in this country, while Pariplay entered this regulated market by launching its own casino games with Svenska Spel. Aspire was fined for violating self-exclusion policies enforced by Spelinspektionen and was forced to pay $321.000 worth of damages.

Source:

“Aspire Global completes acquisition of Pariplay”, igamingbusiness.com, October 8, 2019.