CEO Kent Staahle & CFO Shawn Bezzina
Rive ver r iGami ming g Company mpany Presentatio tation n - - PowerPoint PPT Presentation
Rive ver r iGami ming g Company mpany Presentatio tation n - - PowerPoint PPT Presentation
Rive ver r iGami ming g Company mpany Presentatio tation n Septem ember er 20 2018 CEO Kent Staahle & CFO Shawn Bezzina Disclaimer This presentation (the "Presentation") has been produced by River iGaming Plc (the
Disclaimer
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This presentation (the "Presentation") has been produced by River iGaming Plc (the "Company") solely for use at presentations to potential investors and other stakeholders. By reading this Presentation or attending any meeting or oral presentation held in relation thereto, you (the "Recipient") agree to be bound by the following terms, conditions and limitations. The Presentation is for information purposes only and does not in itself constitute, and should not be construed as, an offer to sell or a solicitation of an offer to buy any securities of the Company in any jurisdiction. Information contained in this Presentation has not been independently verified. None of the Company or any of its parent or subsidiary undertakings or affiliates, or any directors, officers, employees, advisors or representatives of any of the aforementioned (collectively the "Representatives") make any representation or warranty (express or implied) whatsoever as to the accuracy, completeness or sufficiency of any information contained herein, and nothing contained in this Presentation is or can be relied upon as a promise or representation by the Company or any of its Representatives. None of the Company or any of its Representatives shall have any liability whatsoever (in negligence or otherwise) arising directly or indirectly from the use of this Presentation or its contents, including but not limited to any liability for errors, inaccuracies, omissions or misleading statements in this Presentation. The Recipient will be required to conduct its own analysis and acknowledges and accepts that it will be solely responsible for its own assessment of the Company, the market, the market position of the Company, the Company's funding position, and the potential future performance of the Company's business and securities. The Company has not authorized any other person to provide Recipients with any other information related to the Company and the Company will not assume any responsibilityfor any information other persons may provide. An investment in the Company involves risk, and several factors could cause the actual results, performance or achievements of the Company to be materially different from any future results, performance or achievements that may be expressed or implied by statements and information in this Presentation, including, among others, risks or uncertainties associated with the Company's business, segments, development, growth management, financing, market acceptance and relations with customers, and, more generally, general economic and business conditions, changes in domestic and foreign laws and regulations, taxes, changes in competition and pricing environments, fluctuations in currency exchange rates and interest rates and other factors. Should one or more of these risks or uncertainties materialise, or should underlying assumptions prove incorrect, actual results may vary materially from those described in this Presentation. An investment in the Company is suitable only for investors who understand the risk factors associated with this type of investment and who can afford a loss of all or part of their investment. This Presentation speaks as at the date set out on its front page. Neither the delivery of this Presentation nor any further discussions of the Company with the Recipient shall, under any circumstances, create any implication that there has been no change in the affairs of the Company since such date. The Company assumes no obligation to update or revise the Presentation or disclose any changes or revisions to the information contained in the Presentation. The contents of this Presentation shall not be construed as financial, legal, business, investment, tax or other professional advice. The Recipient should consult its own professional advisers for any such matter and advice. This Presentation contains certain forward-looking statements relating to inter alia the business, financial performance and results of the Company and the industry in which it operates. Any forward-looking statements contained in this Presentation, including assumptions, opinions and views of the Company or cited from third party sources, are solely opinions and forecasts and are subject to risks, uncertainties and other factors that may cause actual results and events to be materially different from those expected or implied by the forward-looking statements. None of the Company or any of its Representatives provides any assurance that the assumptions underlying such forward-looking statements are free from errors nor do any of them accept any responsibilityfor the future accuracy of opinions expressed in this Presentation or the actual occurrence of forecasted developments. None of the Company or any of its Representatives have taken any actions to allow the distribution of this Presentation in any jurisdiction where action would be required for such purposes. The Presentation has not been registered with,
- r approved by, any public authority, stock exchange or regulated market. The distribution of this Presentation, as well as any subscription, purchase, sale or transfer of securities of the Company, may be restricted by law in certain
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Agenda
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STRATEGY THE COMPANY NUMBERS GOING FORWARD
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The iGaming Industry Value Chain
Opera erati tions
- ns
Digita tal l marke keti ting g / content ent Game providers / content Gaming technology Payment solutions
7c
Custom stomers
River iGaming has successfully positioned itself throughout the value chain
Es Estimat ated EU EUR 10.7bn in 2018 Estimat ated EU EUR 15.5bn 2022
5
Competition for Customers is set to increase
Capturing “The Entire Client Journey”
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The “Engine”
By capturing the entire client journey, we are able to lower customer acquisition cost and increase customer value
PREFERRED BUSINESS PARTNER GAMIFI
- CATION
PERSONALI
- SATION
CONSUMER BEHAVIOUR
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VALUE STRATEGY Decrease se custome mer r acquisiti uisition & increase se customer er value lue BIG DATA
TECHNOLOGY & INNOVATIVE SOLUTIONS SYNERGY CREATING INVESTMENTS BUY & BUILD STRATEGY It’s about obtaining a customer at the lowest possible cost with the highest possible long-term value
Personal alizat ation & automat atizat ization ion
Agenda
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STRATEGY THE COMPANY NUMBERS GOING FORWARD
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Milestones – 2018
Third acquisition: Gaming Realms, named River UK Casino
01.01.2018
First acquisition vegascasino.com (Migrated to Xcaliber 12.03.18) January 2018
15.02.2018 06.08.2018 16.08.2018
Second acquisition: 75% of Mediafusion (100% in Q3) Listed on the MerkurMarket August 2018
26.03.18
Awarded a Remote Gaming License by Malta Gaming Authority (MGA)
Rigged for growth throughout the value chain
10 100% 100% 100%
River Game Operat atio ions Ltd River r Game Intellige lligence nce Ltd River r Game Techn hnolo logy gy (not incorpo rporat rated)
100%
Project t X& Y
River iGaming P.l.c ▪ CEO ▪ CFO ▪ CTO ▪ Head of Marketing & Communications ▪ Compliance Manager
Mediafusion - A full featured media company
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It`s s abou
- ut
t obtai taini ning ng a c custome tomer r at the lowest st possi sible ble cost t with th the highest hest possible long-ter term m value
Partner r Studio io Digital al Marketing ing Content & Media a Produc uction ion
Mediafusion achieves results through communicating and interacting with the consumers using behavior analysis and personalized content
Mediafusion - A full featured media company
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We collect, magnify and reconcile human data across all data sources, including all interactions a user has with a brand online and data that exists about user We analyse raw data to gain insight into individuals, audience segments and events Shop for insight into own and third-party programs to earn revenue.
Indus ustry ry news s (con
- nten
tent t driver) er) Partner er sites tes Visual sual conten tent t driver er WITH OUR DMP PLATFORM WE DELIVER CONTENT & PROFESSIONAL SERVICES INTERNALLY AND EXTERNALLY
FUSION LAYER INTELLIGENCE LAYER ACTIVATION & OPTIMISATION LAYER
Performs a semantic analysis of the pages on your sites in order to build a better understanding of the individual users, e.g. short term intent, long term interest etc.
Action data on your individual users is the key differentiator!
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Powerfu ful1:1 :1 Leve vel, , real – time me user profiles fileson
- n all users
Difference cebetwe ween«segments ts only»/ »/seg segments ts & 1:1 :1 profiles ileslooka like
Media iafusio sion user erprofile file
Captures user data from ANY device, across MULTIPLE sites, & across MULTIPLE device Real-time capture of all events, e.g. page views, impressions, clicks, in- view, conversions etc. Augment your user profiles with data from your own and 3rd party business systems DMP lets you turn user data into targetable audience segments. Extend your audiences with advanced segment modelling to derive lifestyle interest, sociodemographic and demographic and such Search like creation of new segments, experiment/iterate real- time, see full segment reach, activate instantly
=> Audience coverage 42% Your audience with segments and 1:1 profiles:
Segments
=> Audience coverage 100%
Segments 1:1 user profiles
Your audience when “segment only”
300 – 1.000 euro 150 euro
- 20 euro
C u s t o m e r A c q u i s i t i o n C o s t
marketing ing
River Game Operations
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- Vegas Casino to be present in all our markets
- Traditional casino offering
- Wil evolve with additional game offerings and
sportsbook
- Only digital marketing
- 4 brands with a soft game approach
- Younger audience - 50% female and TV show
related
- Acquired knowledgeable marketing team
- Aim for new markets – TV-shows and games
- Only digital marketing after earn-out period
Vegas Casino
- A brand new gamification oriented casino offering
- Our future “signature product offering”
- Planned to be soft launched in Q2 2019
- Only digital marketing
- Follows the trends of “no account casino”
- More effective payment and ID solutions – Bank ID
- Simple and customer oriented casino offering
- Only digital marketing
Gaming Realms Projec ect t X Projec ect t Y
Vegas Casino
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OUR R MARKETS KETS LICEN ENSES ES
Agenda
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STRATEGY THE COMPANY NUMBERS GOING FORWARD
Vegas Casino
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- We have been operational with the brand for half a year, during this time we
have accomplished a large number of tasks, as well as building the
- perational infrastructure
- The first task was to relaunch Vegas Casino
- We started to implement a full design re-vamp, platform migration, the
creation of new marketing material (including TVC and digital)
- Launching the new site in record-breaking 5 weeks, March 12th with a
full marketing push in our initial core market - Norway, supported by a solid CRM/VIP plan.
- The site also caters to Swedish, Finnish, Germans and English speaking
customers and this segment was part of the CRM push from the start. In the secondary markets, we moved into affiliation and the digital marketplace in early April.
- On the personnel side, we have only signed top shelf key candidates, filling all
central functions to complete the skeleton crew and a strong team. The structure we have created will enable us not just to efficiently run and grow VC, but also to easily take operational responsibility for new brands coming into the RGO sphere.
Deposit € 3.816.671 Withdrawals € 2.472.420 HOLD € 1.344.251 HOLD % 35%
From m mig igration ation to the XCalibe iberin March we have lifted the deposit posit month thly rate from m 400 000 Euro per month th (Feb.) b.) to ca 1 000 000 Euro per month th in July
57% 17% 7% 19% RoW Depositing split per main market
River Game Operations - Vegas Casino
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Deposits (EUR 000) NDC (#) GGR vs NGR (EUR 000) BETS (EUR 000)
- 100
200 300 400 500 600 700 800 900 1 000 1 2 3 4 5 6
- 500
1 000 1 500 2 000 1 2 3 4 5 6
- 2 000
4 000 6 000 8 000 10 000 12 000 14 000 16 000 1 2 3 4 5 6
- 100
200 300 400 500 600 700 1 2 3 4 5 6
Gaming Realms
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- In June 2018 we signed an asset purchase agreement for the B2C online
casino from the UK-based company Gaming Realms Plc. The acquisition will create significant synergies with the Company`s existing business.
- The Target Business features well-recognized UK casino brands * including
Pocket Fruity, Britain`s Got Talent, Spin Genie and X Factor Games.
- This deal will open a whole new market for us in the UK, containing both
the expertise and knowledge in one of the world`s largest gaming markets.
- Under the deal, River UK Casino, a subsidiary of River iGaming, will buy 70%
for a total cash consideration of up to £23.1m (€26.2m/$30.1m).
- In 2017, the Target Business had net gaming revenue of GBP 13,9 million and
EBITDA of GBP 4,7 million in total for the acquired brands.
Group P&L
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Condensed Consolidated Statement of Comprehensive income (EUR) 01.01.2018- 30.06.2018 01.01.2017- 30.06.2017 Revenue 582,966
- Direct cost
- 1,067,426
- Operating Loss
- 484,460
- Indirect cost
- 2,017,925
- Loss for the period before tac
- 2,502,385
- Tax expenses
- Loss for the period
- 2,502,385
- Total comprehensive loss for the period
- 2,502,385
- The Group registered a loss for the period before tax
- f €2.5M
- Revenue refers to share of profit generated from the
- perations of Vegas Casino
- Direct Costs refer to marketing costs incurred by the
Group to promote Vegas Casino and build the brand
- Indirect costs include legal and professional fees
incurred in relation to listing and acquisitions made
- Indirect costs also include personnel costs
- Equity-settled share based payment transactions
expensed during 2018 are also included within the same expense
Group balance sheet
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- The trade and other receivables includes the
instalment paid to acquire Vegas Casino as well as the profit share attributable to date.
- Following the completion of the acquisition, the
amounts will be reclassified as per IFRS standards.
- Negative equity is attributable to the current
performance recognised by the Group during the start-up stage of the business. This will be offset by capital increases which were not completed by the end of the reporting period.
- Interest-bearing borrowings relate to interim
financing provided by a related party.
- Trade and other payables consist of accruals as well
as outstanding creditors.
Condensed Consolidated Statement of Financial Position (EUR) 30.06.2018 31.12.2017 Property, Plant and Equipment 99,268
- Non Current Assets
99,268
- Trade and Other Receivables
3,111,506 Cash at bank 1,087,923 138,342 Current Assets 4,199,429 138,342 Total Assets 4,298,697 138,342 Capital and reserve
- 655,115
9,608 Equity
- 655,115
9,608 Interest-bearing borrowing 3,618,467
- Trade and other payables
1,335,345 128,734 Total current liabilities 4,953,812 128,734 Total Equity and Liabilities 4,298,697 138,342
Agenda
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STRATEGY THE COMPANY NUMBERS GOING FORWARD
Going forward – second half of 2018
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Capitalize on the momentum
- f the business
Enter new markets and licenses in relevant markets Streamline the customer acquisition Implement RIVER UK Casino Continue our focus on technological innovation