iGaming Business – US racetrack and casino owner Churchill Downs has acquired casual games developer Big Fish Games in a deal worth $885 million (€710.3 million).

Under the agreement, Churchill Downs will pay a base fee of $485 million and a potential earn-out payment of $350 million next year if certain targets are met.

Paul Thelen, founder and chief executive officer of Big Fish Games, will also potential receive a bonus payment of $50 million based on 2016 bookings if he hits his targets.

The purchase price is to be paid in cash, expect for $15 million in Churchill Downs stock that will instead be paid to Thelen.

“We are extremely proud of the company we have built over the last twelve years,” Thelen said in a statement.

“Churchill Downs is a company with a commitment to interactive entertainment and a track record of growth and performance.

“We believe Big Fish is now positioned to become an even greater force in the casual, mid-core and social casino mobile and online games industry.