Online casino operator LeoVegas is to take control of brands including 21.co.uk, Slotboss, Bet UK and UK Casino via the acquisition of the assets and related assets of the Alderney-based Intellectual Property & Software for a total of £65m.
Through LeoVegas Gaming the operator is acquiring assets from IPS and related assets from European Domain Management. LeoVegas is, through a wholly-owned UK subsidiary, also set to acquire the assets of marketing firm Rocket 9, which is based in Newcastle-upon-Tyne, UK.
In the fourth quarter of 2017, IPS revenues were £11.7m million and, together EDM and Rocket 9, earnings (adjusted EBITDA) were £3.8m. Revenue in Q4 was up 49 per cent, year on year.
Ninety-six per cent of IPS’ total revenue is from the UK, with mobile accounting for 73 per cent. IPS currently uses the Bede Gaming platform and LeoVegas has now entered into a services agreement with Bede.
LeoVegas Group CEO Gustaf Hagman said in a statement: “To be able, on the six-year anniversary of the launch of LeoVegas, to conduct this remarkable acquisition feels just great. Since its start LeoVegas has pursued a highly successful global brand strategy.
“Following the  acquisition of Royal Panda, LeoVegas now works with two scalable brands. We believe that in larger markets our global brands, LeoVegas and Royal Panda, can be complemented with a local, multibrand strategy.
“The UK market is a very large and mature market and that is the reason to work with several brands that attract various types of customers,” he said.
“In IPS we see several attractive attributes and they have tremendous momentum in their growth and profitability. Combined with one of the market’s most effective customer acquisition models, we are now gaining a firm stronghold in the UK with the acquisition of 85 employees with local expertise.”