This week, Games Global Limited announced that it registered an initial public offering (IPO) with the New York Stock Exchange (NYSE).
The application is to list its shares on the NYSE under the symbol of “GGL.”
Further details on share number and price range, as well as a timeline for the IPO to take effect, were not included in Games Global’s press release.
GGL touts itself as a leading developer, distributor, and marketer of innovative online casino-style gaming content.
However, in its prospectus, GGL noted that it is currently developing an iLottery product as well.
As we’ve seen with states that have online lotteries in the US, that market is seeing a lot of growth.
GGL revenue grows 23% YOY
Over its last nine months of 2023, Games Global reported generated revenue of 273 million euros, which equals about $291.3 million. That was a 23% increase year-over-year.
During the same time period, the adjusted EBITDA grew 10% to $129.1 million.
GGL is targeting a live casino product in the US before the end of 2024. It is also seeking to expand into game show and crash game products while also working on an iLottery option.
Some of the major players currently in the online lottery space include Scientific Games, IGT, NeoPollard (a blend of NeoGames and Pollard Banknote Limited), and Allwyn.
Online lottery booming for US states
It’s not a surprise to see Games Global wanting to get into the iLottery mix.
That part of the gambling sector is heating up with new markets opening and states that have launched seeing immediate results.
Sales from the Kentucky online lottery, for instance, were up 69.5% year-over-year, growing to $424.7 million for the state in its last fiscal year.
The early days of the North Carolina online lottery saw its Digital Instant games make $50 million in revenue over their first four months. That outdid projections by 420%.
Sales from the Illinois online lottery are up 28% through the majority of the new fiscal year, resulting in nearly $100 million more in transactions.
Each state that has iLottery is seeing big jumps in sales year-over-year. More states are getting into the act, with Connecticut targeting mid-May as a launch date for its iLottery product.
Statista projects that the US online lottery market will reach $5.74 billion this year. It also projects iLottery users in the country to hit 14.3 million by 2028.
GGL expected to be a big float for NYSE
According to the press release, J.P. Morgan, Jeffries, and Macquarie Capital are acting as joint book-running managers for the GGL offering. Barclays is acting as bookrunner.
Cooley LLP will be representing Games Global when it comes to US federal security rules.
The IPO lists Walter Bungo as Games Global’s CEO and director. Timothy Mickley is listed as CFO and director.
This IPO is expected to be among the biggest floats seen in the iGaming industry this year. A high float means a vast majority of the company’s total outstanding shares are freely traded.
Zinnia, the current owner, is expected to be the majority shareholder with over 50% of the shares.
Image by PlayiLottery
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