London-listed operator Gaming Realms has agreed to sell its Bingo Godz and Castle Jackpot brands to European Domain Management (EDM), the marketing company behind a number of UK-facing bingo brands.
The conditional asset sale and purchase agreement will see EDM pay a total consideration of £0.5m in cash to Gaming Realms.
European Domain Management will pay an initial consideration of £0.2m in cash, with a further £0.3m to be paid in cash over the next 17 months. The assets relating to Bingo Godz and Castle Jackpot brands generated a loss of £2.1m for the 12 months ended September 30th 2014.
Gaming Realms said that the money will be reinvested in SpinGenie, its recently launched gaming brand which is hosted on the operator’s proprietary platform.
Both Bingo Godz and Castle Jackpot are currently operated by IP&S Limited, which also operates the BetUK, Pink Casino and Crown Bingo brands among others. EDM is the marketing company for all of those brands.
“With the successful launch of our own platform and the great growth we are seeing on SpinGenie, this is the next stage of our stated strategy to focus our resources on our own technology platform where we see a quicker and more sustainable return on investment than on third party operated sites such as Bingo Godz and Castlejackpot,” Gaming Realms chief executive Patrick Southon commented.