NeoGames hails completed Aspire Global deal

NeoGames has confirmed the completion of its $480m deal to acquire B2B platform supplier Aspire Global.

The deal, first announced in January, was on a 50/50 basis split between cash and shares, with the share element expected to settle on June 30.

In total, NeoGames now owns 99.31% of shares in Aspire Global, with the remaining shares subject to a so-called ‘squeeze-out’ proceeding expected to take place on or around August 11.

The combined group is expected to be split into two separate divisions: ilottery, which will contain the bulk of the NeoGames business, and an igaming division, which will include all Aspire’s current operations and employees.

With the bulk of its operations based in the US, NeoGames is expected to utilize Aspire Global’s international customer base in places such as Africa and Latin America as a way of diversifying its revenue mix.

NeoGames has committed to reviewing and identifying potential capitalization opportunities post-merger. NeoGames CEO Moti Malul, who now leads the combined group, outlined the firm’s goals going forward.

“We believe this strategic combination will generate long-term shareholder value by synergistically capitalizing on the key strengths of our two companies and will help position NeoGames for expansion in new and existing markets,” Malul said.

Aspire Global CEO Tsachi Maimon, who has advanced to the role of president of NeoGames and leader of its newly formed igaming division, echoed his opposite number’s remarks.

“We view this transaction as the natural next step for our company, as we further enhance our scale and competitive position across all business lines,” Maimon said.

“We believe both companies are well positioned to mutually grow our two platforms and execute on our strategic initiatives.

“Not only is this a strategic fit, it is also a strong cultural fit, as significant parts of both management teams worked together extensively during NeoGames’ inception,” he added