32Red Acquires Roxy Palace For £8.4 Million to Expand in UKPublished July 17, 2015 by Vlad G
Roxy Palace will operate under the bigger group owned by 32Red for a better coverage in the UK and in other markets.
The online gambling operator based in Gibraltar, 32Red, has made a deal with rival company Roxy Palace in order to acquire it along with its main online casinos for the total price of £8.4 million. The announcement was made earlier this week and will further expand the reach of 32Red Plc. while the newly purchased websites will continue to function as normally; these include Roxy Palace, Casino Splendido and Luckclic.
Two million pounds will be paid in cash and the rest will be covered by 10 million new shares issued at 64p each.
According to the statement made with the purchase, 32Red doesn’t have any plans to shut down Roxy Palace, which reportedly earned more than £1.6 million from £10.1 million in revenue last year. Most of the bets at Roxy Palace are made by customers from the UK, also the main market for 32Red, but it also has a large presence in Sweden and in the Netherlands despite the grey regulations. Players have no reason to worry about the casinos going down or even a merger with the big company.
The two brands will now look to maximize synergy and make the integration as smooth as possible. This is just the latest effort made by 32Red to expand in the online gambling industry and it follows the acquisition of Go Wild and its online casino products that took place last year in September. The company also ventured into sports and started offering betting options while getting ready for the FIFA World Cup.
Roxy Affiliates Continue As Usual
The deal will not affect Roxy Affiliates as of now and business will continue to work as usual, with no impact on the current earnings or deals in the near future. The program will assist the associated brands as it has done until now and strive to offer great services and marketing options to affiliates.