Cherry AB signed an agreement to acquire 25pc of Highlight Games Limited, with an option to acquire a further 26pc. Highlight Games offers a unique and patented product, together with multi-year rights to use footage from historical football matches to create unique virtual sports content. With this investment, Cherry further strengthens its position within gaming technology.
Highlight Games was founded in 2014 and develops innovative, sports-focused, and IP-protected virtual games for online and retail gaming operators. The company’s SOCCER BET product features footage from major European football leagues. Along with exclusive football rights the company will also deploy games across other sports in line with demand, to the virtual and sports betting market in 2017 and beyond.
Cherry is acquiring 25pc of Highlight Games, with an option to acquire a further 26pc in three further tranches over the next 18 months. The purchase price for Cherry’s initial 25pc stake amounts to GBP 2.4m, with 20pc for new issued shares in Highlight Games and 5pc purchased from an existing shareholder.
Anders Holmgren, Cherry CEO, commented: “We believe that Highlight Games has significant development and revenue generating potential, which we can help it achieve within our Gaming Technology business area. We also believe that their unique product can compete with both virtual sports games and traditional slot games. The product is applicable to a variety of markets, which will further diversify Cherry’s revenue sources.”
Tim Green, Highlight Games CEO, added: “We are delighted to welcome Cherry as a significant investor in Highlight Games. Cherry becomes a shareholder at an exciting phase in the company’s development and will be an important strategic partner as we continue our roll-out of SOCCER BET and our other virtual sports products into our retail, online and mobile customers.”
Cherry is a Swedish gaming company established in 1963 specialized in online casinos and lotteries; (www.CherryCasino.com, www.EuroLotto.com, www.Euroslots.com, www.SpilleAutomater.com, www.NordicSlots.com, www.NorgesSpill.com and www.Klubblo.se) and games development (www.Yggdrasil.com), through subsidiaries in Malta. Cherry is the market leader in casinos in restaurants and nightclubs in Sweden. Cherry employs around 700 people and has more than 2 400 shareholders. The company’s B-shares are listed on AktieTorget.