JPJ Group to Acquire Majority of Gamesys in a £490 Million Business Deal

JPJ Group has announced that they are all but done with the process of the acquisition of Gamesys’ majority of services not counting sports brands and games. The purchase of this software provider’s assets will be completed for £490 million.

According to the official press release, this deal will not only deliver an enlarged group but will “afford JPJ ownership of its technology platform and operations[…] with a reduced reliance on 3rd party providers.” Upon completion of the deal, it will see £240 million payable in cash and another £10 million paid to Gamesys’ shareholders after a 30-month period. There will be 33.7m in new shares issued eventually.

A Slight Renaming For Continued Recognition

Genesys will be renamed Genesys Group…

…and through this slight change, JPJ praises their diverse brand portfolio and lauds the potential for international expansion opportunities that will be obtained as a result of this purchase. The entire process should be completed during the year’s third quarter.

Under the Genesys umbrella are several successful online brands and content licenses such as Virgin Games, Virgin Casino, Monopoly Casino and Heart Bingo – all of these will become part of JPJ’s larger group.

These globally recognized brands such as Virgin and Monopoly are the cause of most excitement at JPJ – especially the former, which has a US-based casino offering in Tropicana.

Shareholders Have a Lot to Look Forward to

The acquisition of Genesys marks a very important step towards transformation and further growth of a company, with significant benefits for shareholders. JPJ’s executive chairman, Neil Goulden, went on to explain what those benefits mean:

“For shareholders, we expect the acquisition to deliver earnings accretion in the first full financial year of ownership, while our employees will benefit from the combination of two companies with a strong commitment to responsible gaming, and where the greater scale will further enhance our product development and technology capabilities.”

He continues: “Our customers will also now have an even greater choice of major brands and different games, all on one platform, creating a truly leading UK and international operator. The rationale for the acquisition of Gamesys is based on growth and both teams – at JPJ and our new colleagues ing us from Gamesys – are excited and motivated by the great opportunity which lies ahead.”

Benefits Have Been Identified

The company’s officials believe that some of the key strategic benefits that will arise from this purchase will be a greater operational control through proprietary technology, a complimentary executive and operational team and a diversified portfolio of leading consumer brands.

CEO, Lee Fenton, will be taking over a similar role in the larger group that will come to be after the purchase is complete.

He said that he is excited to the enlarged group as a CEO and this strategically important transition adds scale and combines complementary capabilities as the competitive and regulatory environment continues to evolve. “The enlarged group’s combined brand portfolio, strategically aligned operating structure, technology capabilities and exceptional combined talent base will create significant opportunities for growth in the market.”

Source:

“JPJ Group lauds ‘strategic’ £490m Gamesys deal”, casinobeats.com, June 13, 2019.