Temple Bright advises Highlight Games on Cherry investment
Tech City law firm Temple Bright has advised the UK gaming technology business Highlight Games on a substantial investment by Swedish gaming company Cherry AB (publ).
Highlight Games offers a unique and patented product, together with multi-year rights to use footage from historical football matches to create unique virtual sports content. Cherry has taken a 25 percent stake, with an option to acquire a further 26 percent in three further tranches over the next 18 months.
Highlight Games was founded in 2014 and develops innovative, sports-focused, and IP-protected virtual games for online and retail gaming operators. The company’s SOCCER BET product features footage from major European football leagues. Along with exclusive football rights the company will also deploy games across other sports in line with demand, to the virtual and sports betting market in 2017 and beyond.
The purchase price for Cherry’s initial 25 percent stake amounts to GBP 2.4 million, with 20 percent for new issued shares in Highlight Games and 5 percent purchased from an existing shareholder.
Anders Holmgren, CEO of Cherry, commented: “We believe that Highlight Games has significant development and revenue generating potential, which we can help it achieve within our Gaming Technology business area. We also believe that their unique product can compete with both virtual sports games and traditional slot games. The product is applicable to a variety of markets, which will further diversify Cherry’s revenue sources.”
Tim Green, CEO of Highlight Games added: “We are delighted to welcome Cherry as a significant investor in Highlight Games. Cherry becomes a shareholder at an exciting phase in the company’s development and will be an important strategic partner as we continue our roll-out of SOCCER BET and our other virtual sports products into our retail, online and mobile customers.
“On this deal we were advised by our long term legal partners, Temple Bright, whom we first instructed back in 2014. As a startup you rely heavily on the small team around you and Will Jameson and Temple Bright have been a real asset to Highlight Games right from the start. As we have taken the business forward, Temple Bright have been there at every step of the way, advising us throughout. Their professionalism has been exemplary.”
Will Jameson, Corporate partner at Temple Bright, said: “We were delighted to advise Highlight Games on this exciting deal. It is a ringing endorsement of the business that it has been able to attract such a major player as its investor. The deal creates some excellent opportunities for growth and points to an exciting future for Highlight Games.”
Cherry was advised by Swedish law firm Delphi. The Temple Bright team also included partner Carol Tricks (Tax).
Temple Bright was established in 2010 using a tech-enabled, streamlined business model. Its London office was launched in 2013 in the heart of the technology district in Shoreditch, EC2. The London office now has 30 partners in a broad range of practice areas, with a particular focus on the tech sector and high growth companies.
This article appeared on the Bdaily website on 20 July 2017.