Stride Gaming agrees final earn-out for Tarco bingo

Business News

Stride Gaming, a leading online gaming operator, is pleased to announce that it has agreed the final earn-out consideration payable in respect of its August 2016 acquisition of the Tarco assets.

Tarco’s financial performance has been in line with the Board’s expectations, achieving an Adjusted EBITDA of £4.45m, based on the audited results of Tarco for the period of 1 January 2017 to 31 December 2017.

As set out in the circular to shareholders dated 3 August 2016, the earn-out payment is based on a multiple of 7.5 times Tarco’s Adjusted EBITDA, less the initial consideration, which will be settled in a mix of cash and new ordinary shares.

Subsequently, the agreed final Earn-out consideration is £17,352,217 and will be split as previously agreed with £7,753,238 to be satisfied by the issue of 3,168,076 new ordinary shares of 0.01p each (“Earnout Shares”) at 244.73p, being the average closing price of the ordinary shares for the 90 day period ending on 31 December 2017, and the remainder of £9,598,979 payable in cash.