Authentic Gaming put out the below release last week, advising that they are to be purchased by Scientific Games Corporation.
Scientific Games are a Las Vegas headquartered, NASDAQ listed, diverse gaming products supplier. Their year ended December 2020 results revealed total sales of over $2.7 billion (down from $3.4 billion in 2019).
While they do supply RNG products to the online casino market, the bulk of current revenues are from product and service sales to terrestrial casinos. Recurring closure of casinos and lottery operations were noted in the accounts to have a material impact on 2020 and potentially future revenues.
In Authentic Gaming they have an avenue to grow their digital revenue segment and mitigate this risk a little going forward. It also allows them to tap into the fast growing US state regulated online casino market.
Scientific Games aren’t completely new to the live gaming segment. Evolution’s Ultimate Texas Hold’em was licensed from Scientific Games, whose version of the same game had long been a hit in land based casinos.
PRESS RELEASE – Scientific Games Corporation (NASDAQ: SGMS) (“Scientific Games” or the “Company”) has acquired Authentic Gaming, a leading provider of premium live casino solutions, which marks the Company’s first move into the Live Casino market and significantly enhances the Company’s product portfolio.
This acquisition marks another milestone in Scientific Games’ strategic plan as the Company continues to execute its vision to become the leading cross platform global game company. Scientific Games continues to invest in strategic growth opportunities to focus on game diversification and expansion in a growing U.S. iGaming market as it becomes a digital and content led growth company.
Globally, the Live Casino market comprises approximately 30% of the iGaming market and is a key product vertical for players. The acquisition strengthens Scientific Games in-house development capabilities to build world-leading Live Casino products that will provide immersive experiences for players globally and allow the company to further leverage its content IP, land-based relationships and leading OpenGaming™ platform for accelerated growth in this exciting channel.
Based in Malta, Authentic Gaming has a proud history of providing the European iGaming market with a range of live casino products that have been shaped with player preferences and market trends in mind. The company is currently integrated with over 30 European operators, including leading brands Entain™, 888™, Betway Group™, LeoVegas™, Mr Green™ and many others .
Authentic has built a deserved reputation as specialists within live roulette, bringing exciting casino experiences to players on desktop and mobile devices. These include cutting-edge titles that are streamed directly from a state-of-the-art studio and the floors of some of the world’s most luxurious casino resorts, as well as a range of innovative auto-roulette games. The provider recently improved its portfolio with the addition of live Blackjack, while Baccarat features in its upcoming product roadmap.
Scientific Games has strong ambitions to further extend Authentic Gaming’s product offering across the U.S. market. This includes creating new studios based in the U.S., enabling the Company to offer a localized product for operators across the region.
Per Barry Cottle, CEO of Scientific Games:
”We are thrilled to have Authentic Gaming join the Scientific Games family and expand our premium product portfolio as we execute on our vision to become the leading, cross-platform global game company. The collective power of Authentic, our proven Table Games titles and our OpenGaming platform allow us to capitalize on a growing U.S. market opportunity with our unique omni-channel approach.
Per Dylan Slaney, CEO iGaming at Scientific Games:
”As a result of welcoming Authentic to Scientific Games, we will be uniquely positioned to continue to excite and entertain players to capture both the growth opportunities that exist within Live Casino and the convergence of players globally across digital and land-based channels by providing leading immersive experiences.
We are excited to work with the talented team at Authentic to enhance our iGaming proposition for both operators and players.”
Per Jonas Delin, CEO & Founder of Authentic Gaming:
”Scientific Games’ leading position in the U.S., their focus on quality games content and market-leading iGaming platform make them the ideal home for Authentic to expand our footprint in the U.S. and European markets. Our proven technology and live dealer platform is ready for scale and now, as part of Scientific Games, we are able to embark on our studio expansion and game diversification strategy in full force.
Our strategy is driven by a relentless focus on delivering premium quality live dealer content where attention to detail, customer customization and innovation are the corner stones that our unique live dealer games are based on. This partnership will propel this mission and be a game changer in the fastest growing segment in the gaming industry.”