GIG strengthens affiliate business with €3.5m acquisition
Deal for an as-yet unnamed network will add approximately 8,500 FTDs to the Oslo-listed firm
Gaming Innovation Group (GIG) has acquired an unnamed affiliate network for €3.5m, strengthening the company’s Innovation Labs affiliate division.
The deal, which amounts to approximately 4x EBITDA, is expected to conclude in Q1 2017 and will see GIG acquire all the affiliate websites, accounts and associated agreements of the business.
According to a statement, the affiliate network has expected annual revenues of approximately €1.4m and is predicted to increase GIG’s annual first-time depositors by 8,500.
“GIG is aiming to build the leading performance marketing company in our industry,” the company’s CEO, Robin Reed, said.
“The aim is to direct more of the traffic of paying users online to our eco-system.
“We’ve purchases a solid business with a track record on an attractive multiple, and we believe we can enhance the business further with our best in class SEO experts and technical resources.”
GIG today also announced a 237% year-on-year rise in Q4 2016 revenues, driven by strong growth particularly from the Oslo-listed firm’s B2C division.
The company’s B2C revenues increased 270% YoY to €17.9m, boosted by a €7.5m revenue contribution from Betit which it acquired last year for €54m.