Gaming Innovation Group signs Heads of Terms agreement with Grupo Slots for the supply of platform and sportsbook services
Gaming Innovation Group Inc. (GiG) has signed a head of terms agreement with Grupo Slots LOTBA S.E, Argentina’s premier gaming and entertainment group, to enter the regulated City of Buenos Aires online gaming market. Grupo Slots is headquartered in San Luis, Argentina, and provides top-of-the-line entertainment and leisure services in more than 20 locations across Argentina, where it operates casinos, gambling & bingo halls, lottery, and also the online gaming website Jugadon.com in addition to hotels, restaurants and convention centers.
GiG will provide Grupo Slots with a full online turnkey solution, which includes the technical iGaming platform, Sportsbook, front end development, GiG’s data platform & GiG Logic. The minimum contract period will be 4 years with an automatic extension for one additional year and is based on a revenue share model in combination with set up fees. Signing of the final agreement is anticipated before the end of Q3 2020.
Argentina is regulating online gambling on a province by province basis, with expectations of licenses to be awarded to Grupo Slots for Buenos Aires City, anticipated to be the largest market within Argentina, in the later part of 2020 which will be followed by the online launch. H2GC estimates the total gambling market in Argentina to be worth EUR 352M, however only 7% is currently done online, therefore as an emerging market there is significant growth potential in the interactive space as the market adapts to online gambling, driven by regulation and growth of digital penetration. GiG is well placed to capture this market growth with a leading partner in Grupo Slots which already have a regulated online presence with Jugadon.com.
Group Slots has the vision to be the best entertainment and leisure option in the markets it serves and is a customer centric organisation with a focus on responsibility gambling. Therefore, GiG is partnering with not only one of the largest land based operators in the market, but also one that aligns to its own values and product offering.
Richard Brown CEO of GiG says: “I am extremely excited to partner with and onboard Group Slots. We see great potential in the regulated environments within Argentina as that market is in the early transformation from offline to online gambling, and to partner with one of the largest and premier land based operators in the market is great opportunity to showcase our product in the LATAM market while delivering the platform for online gambling transformation for Grupo Slots.”
Juan Ignacio Torres General Manager of Grupo Slots say: “We are extremely pleased to have reached this agreement with a company like GiG, an international company with extensive experience, which demonstrates a high level of seriousness and excellence in the field of online gaming. On our part, we also contribute 35 years of experience, innovation, infrastructure and knowledge of the Argentine gambling market, currently being one of the few operators with online gaming presence (www.jugadon.com). This agreement complements us and gives us a tool of quality and excellence to continue growing in this market with so much future potential.”
It is anticipated that the license application will be granted in Q4 of 2020 with go live shortly afterwards, therefore GiG expects a positive contribution from 2021 onwards.
For further information, please contact:
Richard Brown, CEO, richard.brown@gig.com, +34 661599025
Tore Formo, Group CFO, tore@gig.com, +47 91668678
About Gaming Innovation Group
Gaming Innovation Group is a leading iGaming technology company, providing solutions, products and services to iGaming Operators. Founded in 2012, Gaming Innovation Group’s vision is ‘To be the industry leading platform and media provider delivering world class solutions to our iGaming partners and their customers. GiG’s mission is to drive sustainable growth and profitability of our partners through product innovation, scalable technology and quality of service. Gaming Innovation Group operates out of Malta and is dual-listed on the Oslo Stock Exchange under the ticker symbol GIG and on Nasdaq Stockholm under the ticker symbol GIGSEK. www.gig.com
About Groupo Slots
Grupo Slots is a company committed to providing top-of-the-line entertainment and leisure services. With over 30 years of experience, history and development, the company also seeks to be a favorable space for personal and professional growth of all its employees, as well as to add multiple value-creation opportunities to society. The group counts with 75 commercial units in 24 different locations in the Provinces of San Luis, Chaco, Neuquén and Buenos Aires, offering services, entertainment and leisure through: Traditional casino lounges, Slot machine lounge Bingo halls, Administration and commercialization of Lottery Games, Online Gambling Platform, Official horse racing track, Horse racing Agency,, Hotels, Convention Centers, Restaurants, bars and cafés, Real estate development, Theater rooms, FM radio stations, Service Payment Network. http://www.gruposlots.com.ar/index_en.ph