Casino gaming company Everi Holdings Inc. has announced plans to acquire ecash Holdings, an Australian firm that provides cash handling and payment solutions for the gaming sector.
“ecash’s products and technologies represent a strategic extension of Everi’s current suite of financial technology solutions within the FinTech segment,” Everi said in a news release Monday (Feb. 7.) “The acquisition will provide Everi with a complementary portfolio of new customer locations throughout Australia, the United States and other geographies.”
Everi will acquire ecash for $33 million AUD ($23.4 million USD), with an initial payment at the time of closing of $20 million AUD. The remaining payments will be made on the first and second anniversaries of closing in 2023 and 2024.
The deal also calls for a payment of another $7.1 million contingent on certain growth targets. Everi says it will fund the purchase with existing cash on hand and future cash flow.
“ecash is a strategic addition to our growing global portfolio that will provide Everi with an entry into the large Australian gaming market thanks to their experienced team, proven product portfolio and established customer base,” said Randy Taylor, Everi’s president and chief operating officer. “The acquisition will also provide us with an incremental customer base in certain U.S. and other gaming markets we do not currently serve. Everi has never been better positioned as we continue to successfully execute our strategic growth initiatives.”
Darren Simmons, Everi’s executive vice president and FinTech business leader, added that Everi’s FinTech and RegTech products will be of use to Australian gaming operators.
“We are thrilled by the opportunity to join the gaming industry’s FinTech leader,” said Andre Soussa, CEO of ecash. “By integrating ecash’s current products and markets with Everi’s offerings, we will be able to add value across a much wider range of clients and unlock exciting new growth opportunities along the way.”
The deal is expected to close within 60 days. Following closing, Soussa will become Everi’s managing director for Australia.
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Online gaming and gambling grew in popularity during the pandemic as consumers looked for ways to entertain themselves at home.
As PYMNTS reported last fall, the online gambling market rose 12% from roughly approximately $64 billion in 2020 to more than $72 billion in 2021, while in-game assets for digital gaming platforms were collectively valued at more than $50 billion.
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