Gaming Realms PLC 10 year services agreement with Jackpotjoy group (4353Z)

TIDMGMR

RNS Number : 4353Z

Gaming Realms PLC

15 December 2017

15 December 2017

Gaming Realms plc

("Gaming Realms", the "Company" or the "Group")

Gaming Realms signs a 10 year framework services agreement and a 5 year convertible loan agreement for GBP3.5m with Jackpotjoy group.

Gaming Realms plc (AIM:GMR), the developer, publisher and licensor of mobile real money and social games, is pleased to announce that it has entered into a 10 year framework services agreement with the Jackpotjoy group for the supply of various real money services on favoured terms, which will include "Slingo Originals" content. The Company has also entered into a separate agreement for the provision of JackpotHappy.com, a white label site on the Gaming Realms proprietary platform.

The Jackpotjoy group has also entered into a secured convertible loan agreement with the Company (the "Convertible Loan") totaling GBP3.5m. The Convertible Loan will be for 5 years and will carry interest at 3 month LIBOR plus 5.5% and will be secured over the Company's Slingo assets and business. At any time after the first year, the Jackpotjoy group may elect to convert all or part of the principal amount of the Convertible Loan into ordinary shares of the Company, such shares to be issued at a discount of 20% to the share price prevailing at the time of conversion. To the extent that the price of conversion per Gaming Realms share would otherwise be lower than 10p (the nominal value), then the shares can be converted at nominal value and the difference paid in cash. Under this arrangement, the maximum dilution to Gaming Realms shareholders will be approximately 12%, assuming the Convertible Loan is converted in full.

Gaming Realms has now paid RealNetworks Inc the outstanding sum of $4.5m due as the final tranche of the Asset Purchase Agreement signed on 10th August 2015 and extended on 19th July 2017.

Patrick Southon, CEO of Gaming Realms, said: "We are extremely pleased that the Jackpotjoy group chose us as a long-term services partner. Developing creative and innovative content is at the forefront of what Gaming Realms does well, and through this relationship we hope to not only acquire new Slingo players and add to the existing user experience, but also to open up new opportunities for further collaboration."

Enquiries:

 
 Gaming Realms plc 
  Patrick Southon, CEO 
  Mark Segal, FD             0845 123 3773 
 Peel Hunt LLP, Nomad and 
  Broker 
  Dan Webster 
  George Sellar              020 7418 8900 
 Yellow Jersey 
  Charles Goodwin 
  Georgia Colkin 
  Abena Affum                07747 788 221 
 
 

The information contained within this announcement is deemed to constitute inside information as stipulated under the Market Abuse Regulation (EU) No. 596/2014. Upon the publication of this announcement, this inside information is now considered to be in the public domain.

Notes to Editors

Gaming Realms creates and publishes innovative real money and social games for mobile, with operations in the UK, U.S. and Canada. Through its market leading mobile platform and unique IP and brands, Gaming Realms is bringing together media, entertainment and gaming assets in new game formats. The Gaming Realms management team includes accomplished entrepreneurs and experienced executives from a wide range of leading gaming and media companies.

This information is provided by RNS

The company news service from the London Stock Exchange

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December 15, 2017 02:00 ET (07:00 GMT)