Business
Proposed Acquisition and Placing
Proposed Acquisition and Placing.
About this update from Gaming Realms Plc
[{"type":"text","content":"\n \nRNS Number : 4534P Gaming Realms PLC 19 August 2014 \n \n\nGaming Realms Plc\n \n(\"Gaming Realms,\" the \"Company,\" or the \"Group\")\n \n \nProposed Acquisition of Blueburra Holdings, Placing and Notice of General Meeting\n \n \nGaming Realms, the creator, publisher and marketer of next generation online gaming products, announces that it has conditionally agreed to acquire the specialist eGaming marketing company Blueburra Holdings, the holding company of Digital Blue, for up to £10.5 million. In addition, the Group also announces that is has conditionally raised approximately £6.0 million through the proposed Placing of 18,148,487 new Ordinary Shares at 33 pence per Ordinary Share with new and existing Shareholders.\n \nHighlights\n \n§ Conditional acquisition to acquire the specialist eGaming marketing company Blueburra Holdings, the holding company of Digital Blue, for up to £10.5 million\n§ Initial consideration of £5.0 million to be satisfied by an equal split of cash and new Ordinary Shares issued at 33 pence per share\n§ Remaining consideration payable over the next three years, subject to the fulfilment of certain earn-out targets and adjustments\n§ up to an additional £2.75 million in cash; and\n§ up to an additional £2.75 million to be satisfied by the issue of new Ordinary Shares \n§ Placing of 18,148,487 Placing Shares to raise approximately £6.0 million (before expenses) to part fund cash consideration\n§ Placing at 33 pence per share, representing a discount of approximately 14.8 per cent. to the closing mid-price of the Company's Ordinary Shares as at 18 August 2014, the last practicable date prior to the date of this announcement\n§ The Board believes that the Acquisition is consistent with the Group's long term strategy to increase the combined databases of the Company's subsidiaries and enhance the Group's revenues by focusing on product and marketing initiatives\n§ The Company continues to trade in-line with expectations\n \n \nPatrick Southon, Chief Executive of Gaming Realms, commented:\n \n\"The skills and aptitudes of Blueburra Holdings will complement and significantly enhance our overall marketing capabilities when combined with our recent acquisition of Quickthink Media, which has been successfully integrated into the Group. The Acquisitio...