Gaming provider Evolution announced Wednesday that its wholly-owned subsidiary Evolution Malta Holding Limited has entered into an agreement to acquire Nolimit City, a producer and developer of online slot games, for an upfront consideration of EUR 200 million ($211 million) on a cash and debt-free basis.
The consideration is financed from cash at hand, the company explained in a press release. In addition, Evolution may pay earn-out payments in cash based on Nolimit City’s EBITDA for the years 2022, 2023 and 2024, respectively. Completion of the Transaction is conditional upon regulatory approvals and is expected during Q3 2022.
With earn-outs of up to EUR 140 million ($147 million), the total consideration can amount to up to EUR 340 million ($358 million), payable in cash. Evolution describes Nolimit City as “a truly innovative, world-leading producer of online slots games that has created its own niche in the market through games with sometimes provocative themes and a humorous touch.”
“Nolimit City games stand out and offer players a unique, graphically rich playing experience,” Evolution further stated in an official press release. Nolimit City titles include games such as “Mental”, “San Quentin” and “East Coast/West Coast.” With the Nolimit City brand, Evolution extends its portfolio of slot brands that already includes NetEnt, Red Tiger and Big Time Gaming.
Jens von Bahr, Chairman of Evolution, spoke about this acquisition and said: “With the addition of Nolimit City to the Evolution family we extend our portfolio of truly innovative and cutting edge games from the top brands and game makers in the industry.”
“We have followed Jonas, Emil and their team for a few years and have been impressed as they have established a completely new style of slot games,” added von Bahr. “I am proud that yet another of the very best minds in our industry has chosen to join the Evolution network.”
Jonas Tegman, Co-Founder of Nolimit City, added: “I cannot think of a better match between two companies than between Nolimit City and Evolution, we are fully aligned in terms of people, product, technology and how to get the job done.”
“The slot vertical is under massive change, and we can’t wait to take on the challenge of global expansion together with Evolution, helping out with navigating towards the best slot product offering in the market,” Tegman concluded.
Nolimit City’s revenue is expected to amount to EUR 30 million ($31.6 million) with an EBITDA of EUR 23 million ($24.2 million) for the calendar year 2022. The Transaction will contribute positively to the 2022 EPS for the Evolution Group.