Gaming Realms Share Discussion Threads

[the shuffle man] 04/3/2022 09:03

May be we will see another conversion notice. If they forward sell it looks like they make at least a 20% profit.

[mylands] 04/3/2022 08:59

A lot of my profit in this has been wiped out in the fall down to 21p

Oversold, or simply following the sell-off taking place since the Russian invasion of Ukraine?

Not helped by this morning's news of the Russian attack and takeover of the largest nuclear power plant in Europe.

What a world we are now living-in.

[brownie69] 01/3/2022 13:50

This looks really oversold in light of the last trading update on hitting market expectation.
Other than the Gamesys convertible partially converting is there any other news in the market?

[the shuffle man] 01/3/2022 12:36

So did they forward sell knowing they would make a guaranteed 20% profit from the conversion.

I see we are going down again today. Didnt think we would see these levels again.

Terrible times at the moment. My thoughts go out to the people of Ukraine.


The convertible loan has a duration of 5 years and carried interest at 3-month LIBOR plus 5.5%. It is secured over the Group's Slingo assets and business. At any time after the first year, Gamesys Group plc may elect to convert all or part of the principal amount into ordinary shares of Gaming Realms plc at a discount of 20% to the share price prevailing at the time of conversion. To the extent that the price per share at conversion is lower than 10p (nominal value), then the shares can be converted at nominal value with a cash payment equal to the aggregate value of the convertible loan outstanding multiplied by the shortfall on nominal value payable to Gamesys Group plc. Under this arrangement the maximum dilution to Gaming Realms shareholders will be approximately 11% assuming the convertible loan is converted in full.

[epicsurf] 24/2/2022 17:58

Hi shuffle man this will probably explained yesterday
The Company announces that it has received a conversion notice from JPJ Group Holdings Limited (a fully owned subsidiary of Bally's Corporation) ("JPJ") in respect of £500,000 of the £3,500,000 secured convertible loan notes dated 14 December 2017.

Accordingly, the Company will issue 2,170,817 new ordinary shares of 10 pence each in the Company to JPJ. Following this issue of shares the outstanding amount of the convertible loan note is £3,000,000 and remains due for repayment on 14th December 2022. The new ordinary shares will rank pari passu with the existing ordinary shares in the Company.

Application has been made to the London Stock Exchange for the admission of the shares to trading on AIM ("Admission"). It is anticipated that Admission will occur at 8.00 a.m. on or around 25 February 2022.

Total voting rights

Following Admission, the Company's issued share capital will consist of 291,873,443 ordinary shares with voting rights and that figure may be used by shareholders in the Company as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to the interest in, the share capital of the Company under the Financial Conduct Authority's Disclosure Guidance and Transparency Rules.

Sad day for Ukrainians and democracy

[the shuffle man] 23/2/2022 14:19

Yesterday there were 12 trades, the day before 10 trades and i think its been like that for a while. There has already been over 60 today when there have been no announcements.

[the shuffle man] 23/2/2022 14:05

i get the nervousness but we have been like that for the last few weeks without the volume, where a lot was traded first thing which is unusual. Was wondering if there was some sort of bear raid or one of the institutions are selling out.

If i had available cash i would be very tempted to top up at these levels.

[mylands] 23/2/2022 13:53

Nervous markets, and they have very reason to be.

[the shuffle man] 23/2/2022 13:24

Why all of a sudden are there loads of trades going through.

Very strange.

[epicsurf] 23/2/2022 13:01

Doesn't help on a day like this
And RNS announcements would help with newsflow
But another new operator launch
Our Slingo game catalog is now live with YoBrands through our direct integration with The Rank Group plc! We’re pleased to see our reach expanding in the Spanish market and hope that more players get to experience and enjoy our Slingo
content. Thanks to Regan Hobbs, Carlos Cidoncha Mellado, and the whole team for helping this come together!
Sorce linkedin

[the shuffle man] 23/2/2022 08:44

Where has all this volume come from today. Not looking good.

[johneee] 19/2/2022 13:21

GMR certainly has the credentials to be a major player yet the current negativity caused by geo politics weighs heavy across the markets.
One day GMR will bounce back
For now it languishes around 26p
Ready to snap back up

[epicsurf] 18/2/2022 15:12

We’re pleased to announce that our strategic relationship with Entain is strengthened further with a new direct integration agreement!
Source linkedin

[epicsurf] 17/2/2022 14:15

Lots of AIM and smaller caps getting hit at the moment.
Gaming realms Announce another new U.S. operator launch today
We are excited to highlight that Slingo is available with our valued partner Live! Casino & Hotel in Pennsylvania! Thanks to everyone at The Cordish Companies for helping us bring Slingo to even more players globally.
Source linkedin

[brownie69] 17/2/2022 11:25

The price her is getting silly. However I suspect its driven by Geo political concerns rather than GMR company performance which we know as per the fairly recent update is fine.

There is more news coming from the US for iGaming along with Sports Betting there. Minnesota is in the process of regulating. Its nearly 6 million people.

[johneee] 16/2/2022 16:37

Noticing the perpetual fall of GMR day on day


Where will the bottom end up?? Who knows it just keep falling .........

[johneee] 14/2/2022 09:58

Anyone think that Putin has shorted the markets with his own money?

Now that would be "the Wolf of Moscow Street"

[johneee] 14/2/2022 09:48

Looks like market panic has set in across all markets

Better brace ourselves for an unexpected cliff drop in GMR heading
down with the rest of the market.

Who knows maybe it will hold around 20p ish

Nothing has changed - Russia still hasn't invaded the Ukraine today as far as we all know -- Just panic has set in :(

[johneee] 09/2/2022 09:29

Guess it’s the EBITDA that will make GMR jump or struggle

Directors don’t interactive enough with the media ~ they know that

[epicsurf] 08/2/2022 20:38

Gaming Realms PLC (AIM:GMR, OTCQX:PSDMF) CEO Mark Segal talks to Proactive about the developer and licenser of online games' push into the US. Segal says the business has been moving more and more to the US markets, obtaining licenses in various US states in 2021, with more than 50% of its top-line growth coming from the US. The group is due to report its full year earnings, with revenues of roughly £14.5mln are expected to be reported for 2021, up 27% on the year before.

[adamb1978] 08/2/2022 08:57

Still have these on my radar after selling a couple weeks ago. The EV/EBITDA comments above was one thing which I was wrestling with when selling given that, for GMR, it can look reasonable on this basis but once you deduct amortisation of capitalised R&D, profits are minimal.

Obviously valuing on an EBITDA multiple basis is fine if you're confident that the peer group multiple which you're using reflects similar accounting policies and that the multiple is pre/post amort of cap R&D in the same way i.e. that you're comparing apples with apples.

All that said, its somewhat irrelevant what method I or anyone else uses if Mr Market is implicitly looking at it differently!!

[johneee] 07/2/2022 17:49

Good Comment

Certainly GMR is Holding up better than other AIM companies

Thanks a good omen for everyone and the future :)

[brownie69] 03/2/2022 09:04

Johnee, the company have given various facts around new market launches, new game launches etc. Plus last years numbers are out and its a small beat verses the house broker expectation.
I'm seeing this as a good steady as she goers update. The forecasts are for strong growth and the operating leverage to shine through on a largely fixed cost base. Peel Hunt forecast revenue of £20.6m and EBITDA of £7.8m That sees the EV/EBITDA drop to 10.2 and 7.3 in 2023. Thats A strong buy IMHO at these levels.

[johneee] 02/2/2022 14:46

HI Epicsurf,

You're back !
The markets expect Michael Buckley, Executive Chairman to provide numbers.
Then there is no rhetoric just facts.

Markets like facts

Numbers are the real thing rather than hope assumptions

[epicsurf] 02/2/2022 13:35

Hey johneee,
Latest report

A good statement from Gaming Realms this morning, which has announced that results for 2021 are expected to be in line with market expectations. The creator and licensor of innovative games for mobile expects revenues up by 27% at c.£14.5 million for the year, along with adjusted EBITDA up by 70% at c.£5.6 million. The performance was driven by continued growth in the core licensing business, which during the year launched in the newly regulated iGaming markets of Michigan and Pennsylvania and with thirty-five new partners internationally. Results for the year are due out in the week commencing 25th April.

In terms of new markets, in November 2021 Gaming Realms entered the regulated Romanian iGaming market through a partnership agreement with Superbet, the largest digital and retail betting operator in Romania, which will publish the company’s Slingo content in the country.

In December the company went live with JVH gaming and entertainment group in the newly regulated Dutch market under the Jack’s Casino and Sports brand. Jack’s Casino will initially offer 15 Slingo games to its Dutch player base, with further agreements with other licensed operators agreed and scheduled through Q1 2022.

This year, Gaming Realms has entered the regulated Spanish market with long-term strategic partner Gamesys under its Monopoly and Botamania brands. An initial 14 games have been approved for launch in this market. Following a short exclusivity period with Gamesys, Gaming Realms will also launch its Slingo portfolio with Rank Group’s YoBingo and YoCasino brands in Spain.

Finally, in September last year Gaming realms announced a third-party distribution agreement with 4ThePlayer.com, a developer of innovative mobile-first gambling games, to integrate its content onto Gaming Realms’ platform for distribution in the U.S. The first 4ThePlayer.com slot game, 9K Yeti, has now been released with Paddy Power Betfair and Gamesys. The content will initially be targeted at EU operators, with the North American markets to follow.

While no numbers were given on current trading, the outlook was positive with Michael Buckley, Executive Chairman, commenting, “We believe that the strong momentum of last year will continue into 2022 which is demonstrated by entry into regulated markets announced today.”

ASSESSMENT

This is another positive trading statement from Gaming Realms, which has now developed a reputation for consistently good announcements following the move to a licencing focussed strategy a couple of years ago. While revenues for 2021 are slightly short of our forecast of £14.9 million, adjusted EBITDA is £0.2 million ahead of our £5.4 million forecast. For 2022 we are currently looking for revenues to grow to £20.8 million and EBITDA to £8 million but will review them on the announcement of the full year results in a few months time.

Despite the positive news Gaming Realms shares have slipped to a three month low of just 29p, well off last April’s high of c.47p. We currently have a peer EV/EBITDA multiple based target price of 53.13p for the shares, implying 83% upside. We are happy to retain our target for now and also flag that we continue to believe Gaming Realms could be on the radar as a potential target for a larger player looking to expand its games portfolio and improve margins. Corporate activity in the sector remains high, with three of the companies in our peer analysis now having been acquired in recent months – Activision Blizzard recently agreed a $68.7 billion all-cash takeover with Microsoft.

We retain our target price of 53.13p and stance of Conviction Buy.


2 new operator launches as well
We’re excited to announce that our Slingo catalog is live with yet another operator: Parimatch! Thank you to the team for their hard work on this launch 🎉
We are pleased to announce that you can now play Slingo in New Jersey and Michigan with our partner - WynnBET! Special thanks to Greg Colella, Seth Medvin, Craig Falciglia, Davide Colosimo for your work on this launch
Source linkedin
Also ONTARIO’S NEW REGULATED IGAMING MARKET TO LAUNCH ON 4 APRIL