iGaming technology company, Gaming Innovation Group Inc. (GiG) (OSL:GIG), has agreed a deal that pending regulatory approvals will see it acquire a majority stake in Croatian operator Top Games d.o.o.
Under the terms of the share purchase agreement, the Stockholm-listed gaming operator and supplier will acquire 75% of Top Games’ shares and plans to join Croatia’s online casino market in the first half of 2020.
“Croatia is a very interesting marketplace for gambling.”
Terms of agreement:
The acquisition payment is based solely on a contribution of resources by the shareholders, with no cash being paid. The remaining 25% of the business will be retained by Top Games, a company that qualifies for a remote gambling license, which will upfront the initial costs, with the Malta-based operator providing operational expertise, a gambling platform and the rights of use of its brand.
Operation of the business will be a joint effort between the two companies.
CEO Brown says:
“I’m excited to further expand our B2C business by entering another regulated jurisdiction. Croatia is a very interesting marketplace for gambling and supports our strategy to grow our own brands in high potential and regulated markets. GiG has a track record of creating responsible gaming experiences with a captivating UX. This is a good opportunity to showcase the strength of our online casino offering and our passion for providing end users with a safe, responsible and competitive online gambling experience.”
According to the press release, five licensed online casinos currently operate within Croatia‘s regulated market and are subject to a gambling duty of 15%.
Situated at the crossroads of Central and Southeast Europe, on the Adriatic Sea, the country supports the locally regulated iGaming operators by blocking the IP’s of offshore and other undesirable/non-regulated operators.
The Balkan country’s aggregate gaming gross win is estimated at approximately €360 million in 2020e, according to H2 Gambling Capital.
In addition to achieving ISO 27001 certification for the second year running, GiG also reached an agreement with its partner, globally-recognized brand, Hard Rock International, to support its market entry with sports betting in Iowa and its initial launch at Hard Rock Hotel & Casino Sioux City.