GiG Software is buying 80% of 888Africa for €16.4 million. The company confirmed the deal today, 26 August.
They will pay €6 million up front and another €10.4 million later. The seller is Virtual Emerging Entertainment Limited, a company owned by evoke plc. The people who founded 888Africa will keep the remaining 20% of the shares and stay involved in running the business.
888Africa runs online gambling sites in several African countries, recently expanded in Malawi. So far it has done best in Mozambique.
This deal marks GiG’s return to running its own gambling sites for players (B2C), after focusing mainly on selling software to other companies (B2B).
Fundraising to support the deal
To help pay for the purchase, GiG plans to raise €8.5 million. It will do this by selling new shares and taking out convertible loans (loans that can later turn into shares). About 70% will come from the share sale and 30% from the loans.
The money will cover the first €6 million payment and also be used for everyday company costs. GiG chose to sell shares this way because it is faster and cheaper than a full rights issue, and it lets them move quickly on the deal.
GiG returns to B2C operation
After Gaming Innovation Group split into two companies, GiG Software has not made a profit in any quarter. Sources said buying 888Africa would bring in a business that already makes money, give GiG a big new software customer, and open the door to the growing African market.
If the deal finishes, GiG expects combined sales of €44–48 million and adjusted profit (EBITDA) of €5–7 million for the full year 2026. This assumes 888Africa contributes for the whole of the fourth quarter. The sales figure matches what GiG said earlier, but the profit number is lower than the €10–13 million they previously guided for.
The deal is not final yet. It still needs approvals and the signing of the full purchase agreement.
After the announcement and GiG’s second-quarter results, the company’s share price dropped about 20% to SEK 1.38.
