Stride takes step into social gaming with InfiApps

AIM-listed bingo operator Stride Gaming plc has bought InfiApps Limited, a profitable internationally-focused mobile social gaming company, for up to US$39.2m, over half of which will be paid in cash, while the remainder triggered by earn-out targets over the next two years.

The acquisition will provide the Stride Gaming group with an entry into the social gaming segment of online gaming, with users based internationally, in particular in the USA, Canada and Australia. Stride said it will be immediately earnings enhancing and is in line with the company’s stated strategy to develop its business.

By expanding into new verticals alongside the online bingo market the acquisition will combine Stride Gaming group’s bingo-led expertise with InfiApps’ social gaming expertise, both of which are complementary offerings to each other, which provide potential for significant operational leverage on an international scale.

Eitan Boyd, Chief Executive of Stride Gaming, commented: “I am extremely pleased by the Acquisition of InfiApps. With revenue in the US social gaming industry alone forecast to exceed $12.3bn in 2017, this deal provides us with an opportunity to enter into the rapidly growing mobile social gaming space and will further advance and bolster our growing position in the online gaming sector.

“The addition of InfiApps widens our current portfolio of products and brands and will significantly enhance and diversify our player offering internationally, as well as provide access to new users and new geographies generating significant operational leverage.

“The acquisition is in line with our strategic objective of expansion through acquisitions, complementing our strong organic growth, and also affords Stride Gaming a platform in which to take our online bingo product, over time, into the social gaming space. This acquisition, coupled with our strong current trading, as previously reported, leaves the Board to view the prospects for the full year and the future with a high degree of confidence.”

Ronen Kalmanson, Chief Executive of InfiApps, commented: “I am delighted that InfiApps is joining the Stride Gaming family. The coupling of our social gaming platform with their gaming operational expertise will allow for an even better player experience and contribute to the continued growth of the company.”