London-listed operator Gaming Realms has signed an agreement giving Scientific Games the exclusive rights to its Slingo brand for gaming machines.

The strategic five-year licensing deal will allow Scientific Games to produce and distribute Slingo-branded slot machines to casinos and related properties worldwide.

Scientific Games will develop new slot games for traditional gaming machines, video lottery terminals and on-property handheld devices, adding to the existing licence agreement to produce Slingo-branded scratch lottery tickets.

The Slingo lottery deal has been one of the most successful in the lottery industry, generating over $1bn in ticket sales across 36 US states and three international markets.

The new machine games agreement includes a minimum guaranteed royalty stream to Gaming Realms, payable within the first two years.

Since acquiring Slingo’s intellectual property, brand and related assets from RealNetworks in July 2015, Gaming Realms has moved to extend Slingo into markets complementary to the operator’s core mobile gaming business, with this deal described as the latest step in this strategy.

The operator also signed a three-year licensing deal with Zynga in January this year, to license the Slingo brand for use in social gaming products. These deals are expected to deliver high-margin revenue streams for the business.

“Following on from the success of our printed lottery products partnership with Scientific Games, we are delighted with the opportunity to bring Slingo to slot machines in casinos around the world with a market leader,” Gaming Realms chief executive Patrick Southon commented.

Shares in Gaming Realms plc (Co.Data) (LSE:GMR) were trading up 0.72 per cent at 20.90 pence per share in London early Thursday.

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