Pollard Banknote to acquire next-generation lotteries
WINNIPEG, MB, December 31, 2020 / CNW / – Pollard Banknote Limited (TSX: PBL) (“Pollard Banknote”, “Pollard” or the “Company”) today announced that it has signed a definitive agreement to acquire 100% of the capital (“Acquisition”) of Next Generation Lotteries AS (“NGL”), a leading provider of lottery management and iLottery technology. The acquisition is subject to certain regulatory and standard third-party consents and is expected to be finalized early in the first quarter of 2021.
NGL is a comprehensive solution provider for the lottery industry, including providing a state-of-the-art retail lottery system and iLottery platform, creating a truly omnichannel offering that increases lottery revenue and returns. to good causes. With particular attention to Europe and Asia, current customers understand the operation of Lotteries de Catalunya in Spain and the provision of lottery services in a number of other international jurisdictions, including Tunisia and Norway. NGL acquired its lottery business by purchasing Novomatic Lottery Solutions (formerly Betware) from NOVOMATIC AG on October 31, 2019, and since that time has focused on expanding its presence in the international lottery market.
In addition to its staff responsible for lottery operations at Spain and Tunisia, NGL has development staff in Iceland and Serbia, with a team of 130 dedicated company-wide professionals. NGL offers a wide range of products and services for the lottery industry, including:
- Modular and open gaming platform for retail, online and mobile lottery games
- Full-service retail solutions for lotteries including terminal management
- Modern iLottery platform with comprehensive player account management system
- Extensive portfolio of e-instant, toto and draw games, developed by a game studio supporting both retail and digital games
- Comprehensive facilities management services
“We are delighted that the NGL team is joining Pollard Banknote,” said Doug Pollard, Co-Managing Director of Pollard Banknote. “NGL will significantly expand our product offering for retail games and iLottery and will be a strong addition to our North American joint venture, NeoPollard Interactive LLC. The recent global growth seen in 2020 in omnichannel lottery sales, and in particular iLottery, highlights a significant opportunity for lotteries around the world. With the expertise of NGL, we look forward to assisting our lottery clients in Europe and around the world to increase the income of the good causes they support. “
Hans Vigmostad, CEO of NGL, commented: “We are excited about the cultural fit between NGL and Pollard Banknote. Lotteries will appreciate not only the great technology we offer, but also the commitment of our teams to delivering the right solutions to our customers. “
The purchase price of the Acquisition is 36 million euros, before adjustments to standard working capital and certain deferred cash consideration, of which 32 million euros will be payable at closing (approximately 50 million Canadian dollars dollars using an exchange rate of CA $ 1.57 dollar per EURO) and the remaining 4 million euros will be paid upon achievement of certain gross margin targets in 2021. The purchase price will be funded by Pollard Banknote’s existing cash resources and availability under our existing senior credit facilities for approximately € 27.6 million and the issuance of treasury shares, subject to the approval of the Toronto Stock Exchange, of Pollard Banknote for approximately € 4.6 million.
About Pollard Banknote
Pollard Banknote is a major lottery partner of over 60 lotteries around the world. player engagement and iLottery solutions, including strategic marketing and management services. The company is a proven innovator with decades of experience helping lotteries to maximize player engagement, sales and revenue for good causes. Pollard Banknote also provides tab tickets, bingo paper and its Diamond game and Oasis-branded electronic ticket machines at charity markets and other games of North America. Founded in 1907, Pollard Banknote is approximately 67.3% owned by the Pollard family and 32.7% by public shareholders, and is listed on the TSX (PBL). For more information, please visit our website at www.pollardbanknote.com.
Certain statements contained in this press release may constitute “forward-looking” statements and information, which involve known and unknown risks, uncertainties and other factors that could cause actual results, performance or achievements to be materially different. results, performances, or achievements expressed or implied by these forward-looking statements. When used in this document, these statements include words such as “may”, “will”, “expect”, “believe”, “plan” and other similar terms. These statements reflect management’s current expectations regarding future events and operational performance and speak only as of the date of this document. This information should not be expected to be updated, supplemented or revised at all times, whether as a result of new information, changing circumstances, future events or otherwise.
SOURCE Pollard Banknote Limited
For further information: Doug Pollard, Co-CEO, Email: [email protected]; John Pollard, Co-Managing Director, Email: [email protected]; Rob Rose, Chief Financial Officer, Email: [email protected]; Pollard Banknote Limited, Telephone: (204) 474-2323