Penn National Gaming Acquires Leading Social Casino Game Developer, Rocket Games, for $60 Million in Accretive Transaction
WYOMISSING, Pa. & SAN FRANCISCO–(Business Cord)–Penn National Gaming, Inc. (PENN: Nasdaq) (“Penn National” or the “Organization”) announced these days that it received Rocket Games, Inc. (“Rocket”), a leading developer of social casino Video games, for about $60 million cash, subject every day operating capital and other changes, including potential earn-out bills for certain individuals of the Rocket Games control crew. The earn-out bills over the following years can be primarily based on a multiple of 6.25 instances Rocket’s then-trailing twelve month income before hobby, taxes, depreciation and amortization (“EBITDA”), difficulty every day a cap of $110 million for the earn-out. The transaction is anticipated everyday be without delay accretive every day Penn Country wide’s running outcomes.
Founded in 2013 by way of sport developers Bill Gelpi (Chief Govt Officer) and Steven Jian (Chief Technology Officer), the management crew became rounded out in 2014 through fellow Zynga veterans Niko Vuori (Chief running Officer) and Justin Cooper (Chief Content material Officer). Today Rocket has a group of over 30 personnel based in its San Francisco workplace. Rocket turned into recognized with the aid of enterprise experts Eilers & Krejcik Gaming as the quickest developing social casino Business enterprise in 2015, growing by using over 500% and achieving a day-to-day-15 role globally inside the developing social casino gaming phase, partly daily on its leadership function within the hastily developing traditional three-reel mechanical slots style (3RM). Rocket generated approximately $5.6 million of running EBITDA at some point of the six month duration ended June 30, 2016.
Rocket’s library of over 50 social on line casino Video games function hits including Viva Slots Las Vegas, Downday-to-daywn Deluxe Slots, Triple Double Slots and Vegas Jackpot on line casino, in conjunction with popular certified titles inclusive of Popeye classic Slots. Rocket’s social slot Games are dayeveryday on the iTunes App Shop, the Google Play Keep, on Amazon and via Facebook. Following the transaction Rocket will continue to be founded in San Francisco and its present control team will hold every day run 66b34c3da3a0593bd135e66036f9aef3 operations.
Penn Country wide Gaming President and CEO, Timothy J. Wilmott, commented, “Penn Country wide’s accretive acquisition of Rocket highlights our ongoing strategic initiative every day acquire rising growth structures that supplement, and permit us everyday leverage, our core local gaming operations and database of over three million lively day-to-day.
“For the reason that separation of our gaming assets from our real estate property in 2013 we were highly focused on a large range of growth and diversification tasks. Launched remaining yr, Penn Country wide’s Hollywood casino. Com and Hollywoodslots. Com social on line casino services were thoroughly acquired by means of players, are worthwhile and serve as powerful purchaser acquisition gear for our operations. Day-to-day on our internal analysis, a big section of Penn National’s database day-to-day actively take part in social and online gaming, and we agree with there are significant running and sales synergies among Penn Countrywide’s operations, our Hollywoodcasino. Com and Hollywoodslots. Com social on line casino offerings and Rocket’s operations with the intention to force near- and lengthy-term growth for our shareholders.”
Chris Sheffield, Senior Vice chairman and Dealing with Direcevery dayr of iGaming at Penn Country wide Gaming, brought, “We are excited everyday acquire a high-quality-in-class social on line casino recreation developer in a transaction that substantially expands our in-residence capabilities and in addition diversifies our portfolio of leading gaming enjoyment belongings. Rocket’s increase and enterprise and purchaser acclaim over the last twelve months is outstanding given their lack of investment from outside buyers or access everyday the sources and experience of an established on line casino operadailyr.
“Rocket’s flagship recreation ‘Viva Slots Vegas’ is cell casino gaming’s ‘classic slots’ leader, having attracted a growing target market of over 200,000 average every day lively players, and we accept as true with Rocket presents Penn Countrywide with a powerful platform day-to-day similarly move sell our already a hit social and on-line operations as well as our current portfolio of regional gaming houses.