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15 Dec 2009 07:00
FOR IMMEDIATE RELEASE 15 December 2009
RAM INVESTMENT GROUP PLC
("RAM" or the "Company")
RAM REALISES INVESTMENT IN GAMING TECHNOLOGY SOLUTIONS LIMITED
GAMING TECHNOLOGY SOLUTIONS LIMITED
RAM Investment Group plc ("RAM") is pleased to announce the sale of its holding of 731,992 shares in Gaming Technology Solutions Ltd ("GTS") to Playtech Ltd.
The initial cash consideration for the sale is €0.24 per share and a further consideration based on the profitability of the GTS business over the next 2 years capped at €0.72 per share.
Tim Baldwin, chairman of RAM, commented: "We are delighted that we have realised this unlisted investment within the year of purchase. The investment was initially made for a consideration of shares and the proceeds from the sale look likely to yield us a significant profit and will also provide us with a useful addition of cash both now and over the next two years for further investment in our digital technology businesses".
BACKGROUND
Playtech Ltd, the leading provider of software to the online, mobile and land based gaming sector, has entered into an agreement to acquire the entire issued share capital of GTS. GTS is a rapidly growing gaming software business and one of the largest game aggregators in the industry. For the 12 month period ended June 2009, GTS recorded revenues of £2.6m and adjusted PBT of £0.3m before amortization of intangibles of £1.8m.
The consideration for the acquisition by Playtech Ltd comprises of an initial amount of approximately €10.8m and further consideration capped at €21.6m based on the profitability of GTS over the next two years.
For further information please call:
Tim Baldwin RAM Investment Group plc 020 7518 4337
Sandy Jamieson Libertas Capital Corporate Finance Limited 0207 569 9650
Monisha Varadan Rivington Street Corporate Finance Limited 0207 562 3389
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