Playtech (LON:PTEC), a gaming technology development company, has made another acquisition, this time securing a UK retail bingo software firm, ECM Systems, for a sum of $18.2 million (£14.9 million), according to a London Stock Exchange regulatory filing.
The acquisition of ECM Systems is the group’s latest acquisition since Best Gaming Technology back in July, when it spent $150.1 million (€138 million) on the group in a bid to enhance Playtech’s omni-channel offering and drive digitalization of retail clients.
Legal Risk Factor Beneath Ripple’s Lawsuit from SECGo to article >>
Per its latest merger and acquisition (M&A) activity, Playtech’s purchase of ECM Systems helps sow up one of the direct links to key players across the UK bingo market – ECM Systems presently provides software to a number of leading players in the UK bingo market, including Gala Leisure and Mecca Bingo, amongst the leaders in the domestic market.
The acquisition is important as it will help Playtech solidify its position as a leader in the UK retail bingo market. Playtech will be paying a total of $18.2 million in cash to buy the group, which will grant it a 90% stake in the company. The remaining 10% of ECM Systems will be held by the group’s Chief Executive Allen Richardson – this stake is however subject to put and call options capped at $1.3 million (£1.1 million). In addition, Mr. Richardson will retain his role as ECM’s Chief Executive for the next three years.
According to Mor Weizer, Playtech’s Chief Executive, in a recent statement on the acquisition: “ECM has a leading position within the bingo hall sector, including its extensive range of handheld devices that enable players to enjoy a digital experience within a familiar retail environment. This is a significant step in strengthening and expanding our Playtech ONE offering within the bingo sector and we look forward to working with Allen and the whole ECM team.”