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UK – Inspired completes purchase of Gaming Technology from Novomatic

By - 2 October 2019

Novomatic UK, the wholly owned UK subsidiary company of Novomatic AG Austria, and inspired Gaming have completed their deal involving Gaming Technology with Inspired buying the company for €104.6m in cash.

The companies included in the deal comprise Gamestec Leisure Limited, Playnation Limited, Astra Games, Bell-Fruit, Harlequin Gaming and Innov8 Gaming. Primarily serving the UK pub sector through the placement of gaming machines on a managed service basis.

This acquisition combines Inspired’s position and expertise in server based gaming, virtual sports and interactive with NTG’s diversified gaming products and popular content, across a complementary customer base. Inspired is a leading supplier of Category B2/B3 gaming terminals, and NTG is a leading supplier of Category B3, C and D gaming terminals to pubs, arcades, motorway service areas and holiday resorts in the UK. Inspired will now supply gaming systems with associated terminals and content for more than 58,000 gaming machines located in betting shops, pubs, gaming halls and other route operations, virtual sports products through more than 44,000 retail channels, digital games for 100+ websites and a variety of amusement entertainment solutions with a total installed base of more than 19,000 devices. Inspired continues to be well positioned to supply an extensive range of products and services across the UK, Europe and beyond.

Inspired plans to draw on each organisation’s core strengths to broaden offerings, bring differentiated gaming products to new sectors and geographies, accelerate key growth initiatives and offer enhanced capabilities, systems, field service and content. The addition of NTG is expected to help diversify Inspired’s UK business and enable Inspired to expand into contiguous customer segments with very little overlap of existing customers. Inspired’s position and expertise in server based gaming is expected to accelerate NTG’s development initiatives to transition the pub gaming sector from analog to digital gaming machines, systems and content. Together, Inspired and NTG are well positioned to capitalize on further converting NTG’s game library for online deployment.

“This acquisition is transformational for Inspired as it unites two highly complementary businesses to create a company that we expect to be a leader in the gaming industry with innovative content, state-of-the-art technology and an expansive footprint,” said Lorne Weil, Executive Chairman of Inspired. “We see significant opportunities across the combined companies to accelerate our growth, expand our reach and set new standards for innovation and service in the industry.”

Mr. Weil continued: “The larger scale of the combined organisation will offer a one-stop service for gaming, virtual sports, interactive and leisure products – and a complete gaming solution that operators can use to reach players wherever they are, whenever they want to play and in any channel they choose. We expect to be able to deliver meaningful value to our shareholders as the acquisition is integrated.”

Gamestec Leisure serves the UK pub sector through the placement of gaming machines on a managed service basis and delivering service support to the bingo and self-service betting terminals sectors.

Playnation serves the UK holiday and leisure industry, including holiday parks, motorway service stations, bowling alleys, airports and independent holiday resorts through revenue share arrangements with operators.

Astra Games Limited is a gaming machine manufacturer, selling Category B3, C and D gaming machines to pubs, adult gaming centres and bingo halls. The casino division of Astra will be retained by Novomatic along with the market leading B3 and cat C gaming machines designed, developed and produced centrally by Novomatic. These activities will trade within a newco Novomatic Gaming UK Limited, headed up by Managing Director Phil Burke.

Bell-Fruit primarily sells Category C machines, both analogue and digital, whilst exporting machines to key European geographies.

Harlequin Gaming Limited is a game development studio for Astra and Bell-Fruit whilst Innov8 Gaming Limited – Gaming machine developer supplying Category B3 and C gaming machines both within the NTG and also to external customers.

Harald Neumann, Group CEO Novomatic, AG said: “Novomatic UK remains completely committed to the UK gaming market. The decision to re-engineer our UK Group and focus on the business areas where we are market leaders will ensure we are well positioned for profitable growth going forward.”

Zane Mersich, CEO Novomatic UK, said: “The areas of leadership and focus for Novomatic in the UK constitute Gaming Operations (AGCs/FECs) and the sale/support of Novomatic designed product originating in Europe. Going forward we will continue to invest organically and acquire strategic targets, growing our operational business under the Luxury Leisure/Talarius umbrella, as we have been doing so to date. Also, we will significantly strengthen the range of fantastic gaming products we source from our parent company in Austria, for supply to the UK market.”

Zane Mersich said: “I would personally like to take this opportunity to thank all the expert and loyal staff of NTG for their assistance in developing and growing the Novomatic UK Group and wish them well within Inspired.”

Caption: Games from Astra

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