4th Apr 2016 11:33
LONDON (Alliance News) - William Hill PLC on Monday said it is investing GBP80 million in the form of a note redeemable in cash or shares in NYX Gaming Group Ltd, with an interest coupon of 6% payable in kind, as part of a ten-year commercial agreement.
The betting company said this, and a further amount of GBP10 million in equity in NYX, supports NYX's potential GBP270 million acquisition of gaming software company OpenBet.
The agreement will further develop its existing sports betting, gaming and retail platforms, while developing a new platform over the next three years, William Hill said.
Sky Betting & Gaming is also investing as part of a consortium with William Hill.
NYX is a digital gaming content and technology supplier, supplying over a third of the games on William Hill's Vegas platform.
"Our new commercial agreement is a key step in delivering our technology strategy by enhancing our current platforms and, in parallel, developing a new back-end platform for William Hill to complement and support our Trafalgar platform which is focused on our front-end user experience," Chief Executive James Henderson said in a statement.
"This route draws on the OpenBet team's proven sports betting technology expertise and NYX's gaming platform to give us a bespoke technology solution to support and deliver our UK and international growth strategies. I am delighted that William Hill is supporting NYX's vision for growth and expansion into sports betting alongside its strong gaming proposition," he added.
Shares in William Hill were trading up 0.9% at 331.40 pence on Monday afternoon.
By Karolina Kaminska; [email protected] @KarolinaAllNews
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