Elray Gaming is continuing to expand its presence in the Asian gambling market with the acquisition of a 25 per cent stake in Hong Kong-based operator AsiaLink.
AsiaLink is a specialist gaming company employing more than 30 staff, and generates turnover of around RMB1.63bn ($260m) each month.
Elray chief executive Brian Goodman described the deal as a “considerable and exciting acquisition” that gives his company access to round-the-clock customer support, an experienced technology development team and an active marketing team that will boost revenue and attract additional players in Asia.
“The acquisition will ensure that Elray maintains its growth in this region, the world's largest gaming market, and the interest in AsiaLink will generate valuable revenue for Elray Gaming and add value to the company as a whole,” Goodman added.
Under the terms of the agreement, Elray will acquire an initial 25 per cent stake in the opeator with an option to increase its shareholding based on AsiaLink achieving certain product milestones. Elray will pay for its stake in Preferred Series C stock with a 24-month restriction on conversion.
It further strengthens Elray’s Asian presence, where it holds a 48 per cent stake in iGaming operator Golden Galaxy Casino, and has agreed a reseller agreement with Playtech to supply the service provider’s gaming software to clients in the Asian market.