GameAccount Network’s (GAME:AIM) simulated gaming platform is gaining further traction in the US after the gambling technology provider signs its largest multi-property casino client to date.
The £18 million cap is launching its simulated gaming proposition - which lets people play casino-style games for free - with a major Southwest US casino operator.
It says the deal represents material revenue in 2016 and is expected to generate ‘significant’ earnings over the multi-year agreement. The news sends the shares up 1.8% to 28.5p.
The deal follows the signing of GameAccount’s 10th simulated gaming client on 29 March; both are expected to go live in the second half of this year.
It’s a step in the right direction, but GameAccount needs two more deals to be secured and go live in the second half in order to meet stockbroker Davy’s simulated forecasts.
It’s expected to make a pre-tax loss of £5.3 million when it reports full year results on 28 April. The company has been held back by an effective stall in the regulation of online gambling in the US, which resulted in it failing to secure a sale of its internet gaming system GameSTACK in 2015.
The group’s pre-tax loss widened from £0.9 million to £2.6 million in the first half of 2015, although net revenue from simulated gaming rose six-fold to £1.2 million.
