GiG Completes KaFe Rocks Deal, Sets Out to Conquer the Casino Affiliate Sector

In a significant development in the iGaming industry, Gaming Innovation Group (GiG) has completed its acquisition of KaFe Rocks, a major player in the online casino affiliate sector. This deal, valued at EUR 35 million (approximately $38.5 million), was initially announced in November and has now been successfully executed.

With this acquisition, GiG is strategically positioning itself in the North American market, a key territory in the iGaming industry. GiG Media, the company's proprietary media division, is set to emerge as a dominant force in iGaming affiliation. The acquisition includes an upfront cash payment of EUR 15 million, followed by semi-annual payments totaling EUR 20 million. Additionally, there is an option to issue EUR 2.5 million in GiG shares to the sellers in Q1 2024.

GiG's acquisition of KaFe Rocks aligns with its broader strategic goals. It follows the earlier takeover of AskGamblers, further enhancing GiG Media's influence in the industry. The synergy between GiG and KaFe Rocks is expected to drive substantial growth, with KaFe Rocks targeting revenue of $25 million and an EBITDA margin exceeding 45%.

Diversification remains a key focus for GiG as it aims to solidify its position with a wide customer base, multiple websites, and operations in various jurisdictions.

Jonas Warner, the CEO of Gaming Innovation Group, expressed satisfaction with the completed deal. He emphasized the importance of this transaction in maintaining GiG's leadership in casino affiliation and expanding its footprint in the lucrative North American market. The addition of KaFe Rocks is expected to unlock significant business value for partners and investors, aligning perfectly with GiG's objectives.

In other news, GiG recently concluded an $81 million senior secured bond issue and welcomed Matthew Saxon as its new Chief Technology Officer, further showcasing the company's commitment to growth and innovation in the iGaming sector.