UK bingo operator Stride Gaming plc (AIM: STR) has acquired Israeli mobile social gaming company InfiApps for $39.2 million.
Under the agreement, $21.2 million in cash will be payable on completion of the deal, with an additional earn-out consideration of up to $18 million payable in cash depending on InfiApps achieving certain financial targets in the next two years.
Founded in 2012, InfiApps provides players with a range of games, some of its main apps are Penguin, including its flagship ‘Slot Bonanza’ social casino title that boasts approximately 5.2 million downloads worldwide.
The firm posted $2.3 million in audited profit before tax during the five months through to May 31 this year, with audited profit before tax in the 12 months to December 31 last amounting to $3.4 million.
“I am delighted that InfiApps is joining the Stride Gaming family, ” InfiApps founder and CEO David Kalmanson said.
“The coupling of our social gaming platform with their gaming operational expertise will allow for an even better player experience and contribute to the continued growth of the company.”
Eitan Boyd, chief executive of Stride Gaming, added: “The addition of InfiApps widens our current portfolio of products and brands and will significantly enhance and diversify our player offering internationally, as well as provide access to new users and new geographies generating significant operational leverage.
“The acquisition is in line with our strategic objective of expansion through acquisitions, complementing our strong organic growth, and also affords Stride Gaming a platform in which to take our online bingo product, over time, into the social gaming space.
“This acquisition, coupled with our strong current trading, as previously reported, leaves the board to view the prospects for the full year and the future with a high degree of confidence.”