EveryMatrix, a leading B2B software provider for the iGaming industry, has announced a public offer to acquire Fantasma Games AB, a prominent Sweden-based developer of online casino games. The acquisition offer values Fantasma Games at SEK 209.8 million, representing a substantial premium over its recent stock performance.

EveryMatrix Announces Public Offer to Acquire Fantasma Games AB

This acquisition could significantly impact the iGaming space, with Fantasma Games’ portfolio of innovative slot games potentially enhancing EveryMatrix’s market position in the online casino sector. Here’s a deep dive into the deal and what it could mean for both companies and the industry at large.

Details of the Acquisition Offer

On 17 September 2024, EveryMatrix made an official offer to purchase Fantasma Games at a price of SEK 59 ($5.79) per share in cash. This represents a 21.4% premium over Fantasma Games’ closing price of SEK 48.60 on the last trading day prior to the announcement.

For shareholders, this offer also reflects:

• 27.7% premium over the 30-day volume-weighted average price.
• 33.4% premium over the 90-day average price of Fantasma’s shares.

This significant premium highlights EveryMatrix’s confidence in the strategic value of acquiring Fantasma Games and underscores its intention to solidify its leadership in the online gaming market.

Strategic Rationale Behind the Deal

Why is EveryMatrix Acquiring Fantasma Games?

The iGaming market is highly competitive, and strategic acquisitions often play a key role in expanding market presence and enhancing product portfolios. By acquiring Fantasma Games, EveryMatrix seeks to benefit from the developer’s strong reputation for high-quality, innovative slot games. Fantasma has a distinctive approach to game development, focusing on unique mechanics and immersive gaming experiences, which have set it apart in the competitive online casino space.

EveryMatrix’s move to acquire Fantasma Games aligns with its broader strategy of expanding its offering to online casino operators globally. With Fantasma Games’ expertise in slot game development and its presence in the European gaming market, this acquisition is expected to enhance EveryMatrix’s product diversity, ultimately benefitting its clients by providing a wider range of premium games.

Who Supports the Offer?

The acquisition offer has been endorsed by Fantasma’s independent bid committee, which includes key board members Antonia Svensson, Johan Styren, and Johan Köningslehner. This recommendation was made following a thorough review of the offer and a fair opinion from Svalner Skatt & Transaktion KB, a reputable financial advisory firm. According to the fairness opinion, EveryMatrix’s offer is considered fair from a financial perspective.

Additionally, major shareholders controlling 50.79% of Fantasma’s shares, including Fredrik Johansson and KL Capital AB, have agreed to accept the offer. However, the completion of the deal hinges on EveryMatrix securing more than 90% of the shares, as well as obtaining regulatory approvals and meeting other customary conditions.

Key Benefits for EveryMatrix and Fantasma Games

This acquisition is expected to bring significant benefits for both companies:

1. Enhanced Market Position: EveryMatrix will gain access to Fantasma Games’ extensive portfolio of popular slot games, allowing it to expand its content offering for casino operators. This will also position EveryMatrix as a more attractive partner for both existing and new clients in the competitive online gaming space.
2. Innovation in Game Development: Fantasma Games is known for pushing the boundaries of traditional slot games with unique themes and engaging gameplay mechanics. Integrating Fantasma’s creative approach into EveryMatrix’s CasinoEngine platform could give EveryMatrix a competitive edge in delivering immersive gaming experiences to players.
3. Global Expansion Opportunities: By acquiring a Swedish-based developer, EveryMatrix can further strengthen its foothold in European markets and potentially expand Fantasma’s presence globally through its extensive network of operator partnerships.
4. Increased Revenue Potential: With Fantasma Games’ high-quality slot titles becoming part of EveryMatrix’s game portfolio, the potential for increased revenue is significant. Fantasma’s popular games could attract more players, driving engagement and generating higher revenue for both companies.

What Happens Next?

The acceptance period for the offer will run from 19 September to 10 October 2024, during which shareholders will have the opportunity to decide whether to accept the offer. While EveryMatrix retains the right to extend this period if necessary, the deal’s completion is contingent on meeting the 90% threshold of share acceptance and securing regulatory approvals.

This period will be crucial in determining the final outcome of the acquisition. If successful, the merger could be completed shortly thereafter, subject to regulatory review and any remaining legal conditions.

Conclusion: The Acquisition

The acquisition offer by EveryMatrix to acquire all shares of Fantasma Games AB for SEK 59 per share reflects a bold strategic move that could reshape the landscape of the iGaming industry. With a significant premium over the recent share prices, backing from major shareholders, and a strong recommendation from Fantasma’s independent bid committee, this deal looks poised for success.

FAQs About EveryMatrix Announces Public Offer to Acquire Fantasma Games AB

1. What offer was made by EveryMatrix for Fantasma Games?

EveryMatrix has made a public offer to acquire all shares of Fantasma Games AB at SEK 59 ($5.79) per share in cash. This values Fantasma Games at approximately SEK 209.8 million.

2. How does the offer compare to Fantasma Games’ current stock price?

The offer represents a 21.4% premium compared to Fantasma’s closing price of SEK 48.60 per share on 17 September 2024, the day before the announcement. It also offers a 27.7% premium over the 30-day volume-weighted average price and a 33.4% premium over the 90-day average price.

3. Why is EveryMatrix acquiring Fantasma Games?

EveryMatrix aims to expand its online casino offerings and strengthen its market position by acquiring Fantasma Games, known for its innovative slot games and unique game mechanics. This acquisition will help EveryMatrix diversify its product portfolio and enhance its presence in European and global markets.

4. Who supports the acquisition offer?

Fantasma’s independent bid committee, consisting of board members Antonia Svensson, Johan Styren, and Johan Köningslehner, supports the offer. Major shareholders controlling 50.79% of Fantasma’s shares, including Fredrik Johansson and KL Capital AB, have also agreed to accept the offer, subject to certain conditions.

5. What conditions must be met for the acquisition to proceed?

For the acquisition to be completed, EveryMatrix must secure more than 90% of Fantasma’s shares. Additionally, the deal is subject to regulatory approvals and other customary conditions.

6. When is the acceptance period for shareholders?

The acceptance period for the offer will run from 19 September to 10 October 2024. However, EveryMatrix reserves the right to extend this period if necessary.

7. What impact will this acquisition have on the iGaming industry?

This acquisition could increase competition in the iGaming sector, spark more innovation in online casino game development, and lead to further market consolidation. It also sets a precedent for strategic partnerships and acquisitions as companies aim to stay competitive in the growing online gaming market.

8. When will the acquisition be completed?

If the conditions are met, including regulatory approvals and shareholder acceptance, the acquisition is expected to be completed shortly after the acceptance period ends on 10 October 2024.