NetEnt Purchases Red Tiger Gaming

Game developer NetEnt has announced that they've come to an agreement to purchase fellow slot designer Red Tiger Gaming for £223 million in an all cash transaction.

The agreement will see Red Tiger's owners being paid £200 million up front as well as an additional payment of up to £23 million in 2022. The deal will see Red Tiger, along with their 170 employees becoming part of NetEnt's umbrella, and their expected £18 million EBITDA will contribute to NetEnt's financials immediately.

NetEnt has decided to pay for the deal using debt financed by Nordea and Danske Bank and the purchase has already been completed as of press time.

NetEnt's CEO Therese Hillman spoke about the deal, noting: "I am very pleased to welcome Red Tiger into the NetEnt Group. The acquisition combines two of the leading and most innovative companies in the online gaming industry. We look forward to working with Red Tiger's fantastic team to enhance our combined global reach and to offer further value to operators and players. The transaction will provide significant revenue synergies across our markets worldwide."

Red Tiger CEO Gavin Hamilton added: "This is an exciting new stage of the Red Tiger story and we are delighted to become part of the NetEnt group. Accessing NetEnt's unparalleled distribution network and geographic footprint will unlock new opportunities for Red Tiger and will further accelerate our growth. At Red Tiger we'll remain focused as always on driving further innovation and we are looking forward to working with NetEnt on how to leverage our combined capabilities to create new products that wow our customers."

About the author

3 replies • Last post


Forum Angel
barbadosslim93's picture
Location: Michigan
Joined: 28 Jan 2011
Posts: 11087
Thanks given: 647
Thanks received: 1327
6 September 2019 - 5:00pm

Wow, that's an impressive purchase that I wasn't expecting. It's interesting to see all these betting companies picking up smaller betting companies. I wonder who's next?

CL-Ed's picture
Location: Sydney
Joined: 7 Sep 2007
Posts: 8638
Thanks given: 4644
Thanks received: 4092
9 September 2019 - 12:00am

Wow. I am no CEO or financial controller but paying £223m for a business only making £18m a year seems expensive to me. Unless there is some hidden value there that is potentially a 12+ year payback time. Obviously they must think they can do better but the penny pincher in me is screaming that NetEnt overpaid. The Red Tiger guys though... they are no doubt laughing all the way to the bank! 😂🤑💰💰💰

Always play it safe! Consult our list of rogue casinos and warnings before depositing at a new casino.
Post in our forums to earn CLchips which can be used to buy real prizes in our CLchips shop.

Jackpot ChaserJackpot Chaser
coolsongss's picture
Joined: 2 Dec 2014
Posts: 2467
Thanks given: 1746
Thanks received: 1216
10 September 2019 - 4:53am

Wow, it is a surprising news. M&As seem to be going on, or undergoing between game developers. Red Tiger is small but have big potentials. Their recent releases are excellent.

NetEnt paid 10xEBITDA, which is often seen in the growing industry. Wow, Red Tiger employees hit a Jackpot 😀

Post new comment

Have something to say? Agree or disagree? Tell us what you think!

Login using your social network account
Or log in with a Casino Listings account

Login or register to post comments

Registering for an account takes less than a minute and you will be brought right back here to comment afterwards.