- Legal States
Mike Johnson November 17, 2020 3 min read
Evolution Receives CMA Approval in the UK for NetEnt Deal
Evolution is a step closer to the takeover of NetEnt after the UK’s Competition and Markets Authority (CMA) gave the deal a final approval.
CMA Approves Evolution’s Bid for NetEnt Takeover
The Competition and Markets Authority (CMA), the UK’s watchdog responsible for fighting anti-competitive activities in the country, has approved Evolution’s purchase of NetEnt in a massive £1.6 billion deal announced in June.
Originally opened in September, the CMA had to take more time into gauging the impacts of Evolution’s takeover bid of the Swedish iGaming developer, given both companies’ standing in the industry as leaders in their respective segments. The new deadline was extended to November 20, giving the regulator enough time to analyze the deal and reach a decision.
Evolution focuses on the development of live dealer games and operates a fleet of games made available worldwide from dedicated casinos. NetEnt, on the other hand, is a leading provider of slot gaming experiences, and has coined a number of original titles, such as Finn and the Swirly Spin, Aloha! Cluster Pays, Starburst, Jack and the Beanstalk, among scores of others.
Receiving the CMA’s approval is a second important milestone towards finalization of the deal after the Malta Competition and Consumer Affairs Authority gave its “yay” for the deal in September.
Commenting on this development, Evolution said that should the offer be deemed unconditional by the November 23 2020 deadline, the settlement should begin on December 1 2020 or thereabouts.
“Evolution reserves the right to extend the acceptance period for the offer and to postpone the settlement date,” the company added in an official statement.
Creating a New Gaming Leader in Slots and Live Games
Evolution’s takeover deal of NetEnt is an important step of fulfilling the company’s broader ambition. A leader in live gaming products, Evolution dropped “Gaming” from its name in October and now wants to establish itself as a leader across the entire iGaming supply chain.
In the meantime, Evolution has seen a steady growth this year, and specifically in the third quarter. The results have been boosted by a strong global growth with a particular focus on the United States where Evolution is signing a number of new deals.
Other big developments for the company included the signage of a partnership with Wynn, and the forging of an alliance with William Hill, once again as part of the company’s US pivot. Evolution has been able to extend its product portfolio to the majority of gaming companies in the US, including BetMGM.
All of this comes in the context of more good results for the company with its profits nearly doubling in the first half of 2020. Not least, the takeover of NetEnt would allow Evolution to study the company’s proprietor live dealer experience known as NetEnt Live.