Praesepe Plc, a Milton Keynes-based gaming business has acquired Bolton-based rival Issue Depth Limited and its subsidiary, Classic Leisure (Northern) Limited, for £1.5 million.
Praesepe Plc, a Milton Keynes-based gaming business has acquired Bolton-based rival Issue Depth Limited and its subsidiary, Classic Leisure (Northern) Limited, for £1.5 million.
The deal adds another six Adult Gaming Centres (AGCs) to Praesepe’s UK AGC estate, thereby bringing it up to 40 sites. The acquired AGCs will be re-branded as Cashino and integrated into Praesepe’s existing AGC division. The acquired sites generated revenues of £1.4 million and underlying EBITDA of £300,000 in the year to 31 July 2008, and they are expected to generate positive operating cash flow and earnings post-completion.
Nick Harding, CEO of Praesepe, said: “These AGC sites fit nicely into our Cashino estate and will begin contributing immediately to the bottom line. As we continue to successfully integrate new sites like this into our Cashino estate, we are increasingly able to leverage our central fixed cost base to provide greater returns on capital.”
Praesepe reported a turnover of £4.5 million in 2008, with gross profits of £2.5 million.
