Evolution, the leading provider of live casino solutions, has announced that it has agreed to acquire Livespins, a B2B social streaming game provider that allows players to bet behind their favourite streamers, influencers, and brand ambassadors. The deal is worth EUR 5 million in cash, plus an earn-out based on Livespins’ performance in 2026.
What is Livespins and How Does It Work?
Livespins is an innovative game provider that integrates into an operator’s casino lobby via API, enabling multiple players to place a bet to team up and “bet behind” the streamer for a chance to win together. If the streamer wins, the players win too, in what is an exciting shared experience.
Livespins currently offers content from over 40 studios, including slots, table games, and live casino games. The streamers can be anyone from celebrities, influencers, brand ambassadors, or even regular players who want to share their gameplay with others.
Livespins also provides operators with a range of tools and features to manage and promote their streamers, such as chat, leaderboards, achievements, rewards, and analytics.
Why Did Evolution Acquire Livespins?
Evolution said that the acquisition of Livespins fits perfectly into its “Product Leap” strategy, where the ambition is to break boundaries and bring product innovation to end users. Livespins will further strengthen Evolution’s online gaming portfolio by adding a new social category of live entertainment with a novel way of playing.
Evolution’s CEO Martin Carlesund said, “Livespins is a unique proposition that has shown solid engagement metrics and adoption by players and one we believe will be a great addition to the Evolution portfolio.”
Evolution’s Chief Product Officer Todd Haushalter commented, “Playing along with a streamer is a whole new way to play online casino games. This was on our roadmap, so when the opportunity with Livespins arose, things moved quickly. Bringing together the fantastic tech, processes and know-how of the team at Livespins with Evolution’s huge game portfolio, we will provide Livespins immediately with unparalleled distribution power via our One Stop Shop (OSS) integration. Twitch, YouTube, and other platforms have proven the popularity of live streaming while playing online casino games. We think players would love to play along with them and now that will be possible, right from the Evolution lobby.”
What Are the Benefits of the Deal for Both Parties?
The deal will benefit both Evolution and Livespins in several ways. For Evolution, the deal will:
- Enhance its product offering with a new and innovative social gaming category
- Increase its customer base and reach new segments of players who are interested in social gaming and streaming
- Leverage its OSS integration to provide Livespins with access to its vast portfolio of games from Evolution, NetEnt, Red Tiger, Ezugi, Big Time Gaming, No Limit City, and DigiWheel
- Boost its revenue and profitability with a new revenue stream from Livespins’ performance-based earn-out
For Livespins, the deal will:
- Provide it with financial stability and growth potential with Evolution’s backing and support
- Expand its market presence and distribution power with Evolution’s global network of operators and partners
- Enhance its product quality and innovation with Evolution’s expertise and resources
- Increase its brand awareness and recognition with Evolution’s reputation and credibility
When Will the Deal Be Completed and What Are the Conditions?
The deal is expected to be completed in the first half of 2024, subject to certain closing conditions. These include regulatory approvals, confirmatory due diligence, and the execution of a definitive agreement.
The deal will be for a total up-front cash consideration of EUR 5 million, which will be paid at closing. In addition, Evolution will pay an earn-out based on Livespins’ performance in 2026, which will be calculated as a multiple of Livespins’ EBITDA in that year.
The deal will not have any material impact on Evolution’s 2024 financial results, but it is expected to contribute positively to its long-term growth and profitability.
