Stride Management has been granted a gaming services provider licence in British Columbia and is aiming for licensure from the Alcohol and Gaming Commission of Ontario in the near future.
Jumbo Interactive updated investors on the progress of Stride Management, the Canadian subsidiary which it acquired over the summer, also noting that President Dean Faithfull will leave the firm on Dec 31.
Receiving a licence in British Columbia will allow Stride to provide games in the province to BCLC’s online platform, whilst building up towards an Ontario licence which would offer a wide range of operator clients.
Jumbo CEO and Founder, Mike Veverka, said: “With over three times the population of Alberta and Saskatchewan, Ontario and British Columbia represent a compelling growth opportunity for Stride to expand its client base.”
As aforementioned, Jumbo also announced the departure of Dean Faithfull as President of Stride. Under the provisions of the updated acquisition agreement, Faithfull will also leave as a director and employee of the company as Jumbo seeks to build a new path for its subsidiary.
Replacing Faithfull will be Shane Simmons, who has been at Stride for the past 11 years and currently serves as Chief Business Officer.
This does represent a fast-track of the original plans though; Jumbo will implement its Stride strategy from Jan 1 rather than the originally planned date of July 1, 2023.
As such, Jumbo has paid an additional $1.125m non-contingent payment as part of the acquisition price. With $1m taken off the second earn-out payment, the updated terms mean that Jumbo’s total consideration for Stride has increased from $11.0m to $11.125m
Veverka added: “I would like to thank Dean for his leadership and significant contribution to Stride over the last two decades. I am also very pleased to announce the appointment of Shane Simmons to replace Dean. Shane has been with Stride for 11 years and has managed the day-to-day operations of the business as Stride’s Chief Business Officer.
“He brings a deep understanding of the Canadian charity lottery market and will facilitate a smooth transition which has already been in progress for some time.”