The six steps of acquiring a Spanish-licensed online gambling operator

1. The six steps of acquiring a Spanish- licensed online gambling operator Spanish online gambling regulation is built around a closed licensing system. Remote gambling licenses may only be acquired during so-called “licensing windows.” The last licensing window opened in 2017-2018; and it is unclear when (or whether) a new licensing window will be announced.We believe that – due to the large number of operators in the market – there will be some operators who will not be able to profitably operate their business Identifying a suitable target company The target company will be among the ca. 80 firms holding a Spanish online gambling license. Only a few of those companies, however, would be interested in selling or accepting an investment. Consequently, research must be undertaken to draw up a suitable shortlist.

2. Valuation of the target company Once the desired target company has been identified, the seller will have to execute a business valuation process which will have to take into consideration issues regarding the business operations, productive assets, historical performance, evolution of its Gross Gaming Revenue (GGR), Due diligence process The investigation and verification process to ensure that the transaction meets all desired goals and fulfills all agreed conditions will have to take into account issues that are specific to the gambling sector. The commission of two serious breaches within a period of two years entails what is considered a very serious breach under Spanish law.

3. Date of issuance and renewal of the licenses, as well as any potential regulatory risk related to said licenses. Software agreements with the suppliers of the gambling platform, the games, the CPD, and any other necessary element. Corporate compliance level of the company. Online gambling operators are subject to a high level of corporate compliance obligations (i.e. specific AML obligations, need for DPO in personal data protection. Signing and closing of the Sale and Purchase Agreement (“SPA”) Limitations of responsibility. Taking into account that the buyer will be assuming any contingency or liability that may arise in the future, the limitations of the liability for the R&W made by the seller will play a key issue in the negotiation of the SPA.: Representations and warranties of the seller. The findings of the due diligence process will have to be duly analyzed and included in the representations and warranties of the SPA. Price and payment structure. The operation may be structured in a wide variety of ways. The acquisition may be total (100% of the shares of the company) or partial (51% of the shares of the company). Additionally, the parties may be interested in deferring or conditioning the payment of the price to the obtainment of specific results

4. The payment of the agreed price to the maintaining or increasing of the company’s results or to the performance of key personnel). Likewise, the potential granting of stock options or vesting plans for key employees, the establishment of call options for the investor to buy the shares not acquired in the initial equity investment and any other mechanisms shall be duly established in the SPA. EMAIL WEBSITE https://www.gaminginspain.com/ Gaminginspain37@gmail.com Also Find Us On :- https://tinyurl.com/rdaze5ra https://tinyurl.com/2p96wu49