Evolution has confirmed it has scrapped plans to acquire Galaxy Gaming and will pay the supplier a $5.2m cancellation fee.
The original $85m (£63.2m) deal was struck in July 2024 with an expectation that the acquisition would be completed midway through 2025.
Evolution had agreed to purchase all of Galaxy Gaming’s outstanding shares of common stock for $3.20 per share in cash, representing a premium of 124% to Galaxy Gaming’s closing share price on July 17, 2024.
Galaxy Gaming shareholders proceeded to back the deal at a special meeting in November 2024.
However, the set closing period for the deal expired on 17 July, without an agreement being finalised.
Both companies retained the right to terminate the agreement if no deal had been finalised by the expiry date, subject to certain conditions being met.
Despite the deal collapsing, Evolution said it expects to continue working with Galaxy Gaming “within the framework of the companies’ existing strong commercial relationship”.
The termination announcement saw Evolution’s share price drop nearly 3% to SEK693 at the time of writing.
Speaking after Evolution’s Q2 2026 earnings release on Friday, 17 July, CEO Martin Carlesund hinted the supplier would be assessing its options as the deal failed to progress, claiming the transaction was “not significant” for the company.
Galaxy Gaming had stated it was exploring its own options after the expiry date passed, before Evolution confirmed the termination of the agreement.
On Monday, 20 July, Galaxy Gaming CEO Matt Reback said: “For two years, we have been working with Evolution towards a closing of the merger agreement.
“During this same time, we have also been focused on growing Galaxy by increasing the range of our table games products, expanding into new markets, deepening partnerships with new and existing customers, increasing the share of our recurring revenues and assembling a team of the highest calibre individuals possible.
“We are excited about the trajectory of the company, and we look forward to a continued relationship with Evolution.”
Evolution reported net revenue of €517.8m for the second quarter of 2026, marking a decrease of 1.2% year on year.
Profit for the period amounted to €251.4m, up from the €248.3m recorded the year prior.
The Galaxy Gaming deal collapsing comes amid a turbulent period for Evolution. Earlier this month, the firm reached a £4.75m settlement with the Gambling Commission, following an investigation which uncovered that the supplier’s games were made available on six unlicensed sites.
In June, the Superior Court of New Jersey denied Evolution’s request to add Playtech as an additional defendant in its long-running libel lawsuit against Israeli intelligence firm Black Cube.
The case dates back to October 2025, when Evolution accused Playtech of commissioning a Black Cube investigation which contained “highly inflammatory and knowingly false claims”.
The post Evolution confirms termination of planned Galaxy Gaming acquisition first appeared on EGR Intel.
Proposed $85m deal axed, with the Las Vegas-based gaming supplier to receive a $5.2m cancellation fee from the Stockholm-listed firm
The post Evolution confirms termination of planned Galaxy Gaming acquisition first appeared on EGR Intel.