WINNIPEG, Manitoba, February 3, 2020 /CNW/ – Pollard Banknote Limited (TSX: PBL) (“Pollard Banknote”, “Pollard” or the “Company”) announced today that it has completed the previously announced Acquisition (“Acquisition”) of mkodo Limited (“mkodo”). Pollard signed a definitive agreement to acquire 100% of the equity of mkodo, a leading provider of digital apps and user interfaces for the lottery and gaming industry worldwide, on December 2, 2019. The Acquisition was subject to certain standard regulatory and third-party consents which have now all been obtained.
mkodo is a global provider of licensed, omni-channel customer facing apps to the lottery, betting and gaming sectors. The company was founded in 2001 and has been recognized for its core strength to develop and deliver successful digital experiences to the target audience of their customers’ online users. mkodo’s clientele include a number of leading lotteries and gaming companies around the world, including the majority of the Canadian lotteries and some of the largest gaming operators in the UK. With offices in England (London and Newcastle), mkodo employs approximately 60 full-time highly skilled staff working exclusively on digital app deployment for the lottery and gaming sector.
“We are very excited to complete the acquisition of mkodo and move into the integration phase of combining these two strong organizations”, stated Doug Pollard, Co-Chief Executive Officer. “mkodo are world leaders in the digital user experience in the lottery and gaming industry. We look forward to leveraging their expertise to help our customers build effective, direct connections with their player base.”
The Acquisition purchase price is £7.8 million (approximately $13.5 million CDN dollars using an exchange rate of $1.73 CDN dollar per pound sterling), prior to standard working capital adjustments and potential future earn-out payments based on certain EBITDA targets. The purchase price will be funded from existing Pollard Banknote cash resources and availability under our existing senior credit facilities. The acquisition is expected to be accretive to Pollard Banknote’s net income prior to amortization of related purchase price accounting adjustments.
mkodo is a global provider of licensed, omni-channel customer facing apps to the lottery, betting and gaming sectors. The company was founded in 2001 and has been recognized for its core strength to develop and deliver successful digital experiences to the target audience of their customers’ online users. mkodo’s clientele include a number of leading lotteries and gaming companies around the world, including the majority of the Canadian lotteries and some of the largest gaming operators in the UK. With offices in England (London and Newcastle), mkodo employs approximately 60 full-time highly skilled staff working exclusively on digital app deployment for the lottery and gaming sector.
“We are very excited to complete the acquisition of mkodo and move into the integration phase of combining these two strong organizations”, stated Doug Pollard, Co-Chief Executive Officer. “mkodo are world leaders in the digital user experience in the lottery and gaming industry. We look forward to leveraging their expertise to help our customers build effective, direct connections with their player base.”
The Acquisition purchase price is £7.8 million (approximately $13.5 million CDN dollars using an exchange rate of $1.73 CDN dollar per pound sterling), prior to standard working capital adjustments and potential future earn-out payments based on certain EBITDA targets. The purchase price will be funded from existing Pollard Banknote cash resources and availability under our existing senior credit facilities. The acquisition is expected to be accretive to Pollard Banknote’s net income prior to amortization of related purchase price accounting adjustments.
