Operator News
Buzz Bingo in advanced discussions to acquire two of the UK’s largest Bingo clubs
By Phil - 15 May 2024
Buzz Bingo, the UK’s leading omnichannel bingo brand, announces that it is in advanced discussions to acquire two of the UK’s largest bingo clubs, the MERKUR sites in Cricklewood and Northampton.
The two high-performing bingo clubs are geographically complementary to Buzz’s existing footprint, and the acquisition will see the UK’s largest bingo venue, MERKUR Cricklewood becoming part of the UK’s biggest retail estate in Buzz Bingo.
The two clubs have been at the core of their communities for over 25 years, and like Buzz Bingo, provide value entertainment to visitors with a focus on a low-stake bingo offer with frequent winners. Together, the two venues welcomed 410,000 visitors in 2023 and continue to deliver growth, with admissions up c.5% across the two sites in the year-to-date.
On average, the venues pay out a total of over £1 million in winnings every month. The Cricklewood club alone has on average over 3,500 winners a month and holds the Guinness World Record for paying out the largest single bingo house prize of all time of £100,000.
This acquisition builds on Buzz Bingo’s recent growth, as the business delivered a 5% increase in retail revenue, 31% increase in online revenue and 14% increase in EBITDA in 2023. Furthermore, Buzz continues to develop its omnichannel offering and this is delivering. Buzz’s stability in its retail business coupled with its digital innovation has powered omnichannel growth, with the Digital business doubling market share over the past two years and growing three times faster than the market.
The business is well-positioned to continue to capture the anticipated ongoing growth in Bingo in the UK. This growth is being driven by a recovery in consumer confidence across the leisure industry, and by a younger demographic as bingo becomes an on-trend form of out of home entertainment. The number of 25–34 year olds playing bingo in 2023 double that seen in 20181.
There is also a compelling growth opportunity internationally, and Buzz Bingo has decided to relocate its Digital business to Gibraltar in preparation for this. The move will provide the business with a number of strategic advantages, including greater proximity to its key suppliers, a platform to pursue international opportunities, and will bring Buzz Bingo in line with its major competitors, many of whom already have a presence in the region.
Dominic Mansour, Chief Executive, Buzz Bingo commented: “Bingo in the UK is having a renaissance and Buzz Bingo is one of the UK’s leading online bingo brands with the largest retail footprint and is therefore well-placed to capture this growth.
“Following a period of stabilisation for the business, it is now thriving, and we are delighted to be acquiring these two leading bingo clubs following a year of strong performance. With demand for Bingo growing, and our exceptional online performance, Buzz Bingo is positioning the business for accelerated growth, which is the key rationale behind our decision to move our Digital business to Gibraltar.
“These are exciting developments for Buzz Bingo as we continue to implement our omnichannel strategy to be the nation’s number one choice for Bingo across both online and retail, and to deliver on the international opportunity.”
