KUALA LUMPUR (Nov 1): Genting Malaysia Bhd's wholly-owned subsidiary Genting UK PLC has entered into an agreement to buy LeoVegas Mobile Gaming Group's subsidiary Authentic Gaming for €15 million (about RM70 million) to grow Genting's online gaming presence.

In a statement on Wednesday (Oct 30), Sweden-listed LeoVegas said the selling price of €15 million was on a debt-free basis and the figure represents a return of more than 100% during a slightly more than three-year period for the seller.

Genting Online managing director Jeremy Taylor said in the statement: "Our global presence in land-based casino gives us a platform to grow online at a fast pace.

"Our vision is to offer our customers an amazing gaming experience from all of our casinos around the world, 24 hours a day through any device. With Authentic Gaming's advanced technology and innovative product, we are convinced that together we have a good position to realise that vision," Taylor said.

Genting Online is an operating unit under Genting UK.

LeoVegas group CEO Gustaf Hagman said in the statement Genting is the perfect buyer to take Authentic Gaming to the next level.

"This is a milestone for LeoVegas. The time is now right to sell the enterprise to the industry giant Genting, which is the perfect buyer to take Authentic Gaming to the next level.

"The deal shows our innovative strength in the group and our ability to develop and build sustainable companies. We have thereby created shareholder value with more than a 100% return on our investment in Authentic Gaming," Hagman said.

In a separate statement on Wednesday, Genting UK said the acquistion of Authentic Gaming creates significant opportunity for Genting to continue to lead the way in the live casino space and bring together its offline and online casino experiences.

Genting UK said the deal will see Genting utilise a range of Authentic Gaming's innovative in-club streaming technologies and expertise across its land-based and digital estate, both in the UK and internationally.

"Authentic will continue to operate independently, with Genting Group looking to support the company's continual innovation and expansion. Genting will also continue to work with its existing and other new partners as it develops and diversifies its world class live casino product offering.  

"The purchase of Authentic, at a price of 15 million Euros, will help fuel Genting’s continued growth in the live casino sector both in the UK and across Europe, which analysts estimate to be worth €2.5 billion in Europe alone," Genting UK said.

At Bursa Malaysia today, Genting Malaysia's share price closed up two sen or 0.62% at RM3.23. The stock saw some six million shares traded.