Business
10 year services agreement with Jackpotjoy group
10 year services agreement with Jackpotjoy group.
About this update from Gaming Realms Plc
[{"type":"text","content":"\n \nRNS Number : 4353Z Gaming Realms PLC 15 December 2017 \n\n15 December 2017\n \nGaming Realms plc\n \n(\"Gaming Realms\", the \"Company\" or the \"Group\")\n \nGaming Realms signs a 10 year framework services agreement and a 5 year convertible loan agreement for £3.5m with Jackpotjoy group.\n \nGaming Realms plc (AIM:GMR), the developer, publisher and licensor of mobile real money and social games, is pleased to announce that it has entered into a 10 year framework services agreement with the Jackpotjoy group for the supply of various real money services on favoured terms, which will include \"Slingo Originals\" content. The Company has also entered into a separate agreement for the provision of JackpotHappy.com, a white label site on the Gaming Realms proprietary platform. \nThe Jackpotjoy group has also entered into a secured convertible loan agreement with the Company (the \"Convertible Loan\") totaling £3.5m. The Convertible Loan will be for 5 years and will carry interest at 3 month LIBOR plus 5.5% and will be secured over the Company's Slingo assets and business. At any time after the first year, the Jackpotjoy group may elect to convert all or part of the principal amount of the Convertible Loan into ordinary shares of the Company, such shares to be issued at a discount of 20% to the share price prevailing at the time of conversion. To the extent that the price of conversion per Gaming Realms share would otherwise be lower than 10p (the nominal value), then the shares can be converted at nominal value and the difference paid in cash. Under this arrangement, the maximum dilution to Gaming Realms shareholders will be approximately 12%, assuming the Convertible Loan is converted in full.\nGaming Realms has now paid RealNetworks Inc the outstanding sum of $4.5m due as the final tranche of the Asset Purchase Agreement signed on 10th August 2015 and extended on 19th July 2017.\n \n \nPatrick Southon, CEO of Gaming Realms, said: \"We are extremely pleased that the Jackpotjoy group chose us as a long-term services partner. Developing creative and innovative content is at the forefront of what Gaming Realms does well, and through this relationship we hope to not only acquire new Slingo players and add to the existing user experience, but also to open up new opportunities for further col...