Jackpot Digital Inc. (TSXV: JJ, OTCQB: JPOTF)

Summary

Jackpot Digital Inc. is a Canadian publicly listed company trading on the TSX Venture Exchange (TSXV: JJ, JJ.WT.A, JJ.WT.B), the US OTCQB (JPOTF), and the Frankfurt and Berlin Exchanges (LVH2).

A positive disruptor in the casino business, Jackpot Digital is a leading electronic table game manufacturer and mobile gaming provider for the cruise ship industry and regulated casino industry. The Company specializes in multiplayer gaming products, focusing on poker and casino games, which are complemented by a robust suite of backend tools for operators to efficiently control and optimize their gaming business.

The company’s proprietary next-generation gaming platform, Jackpot Blitz, is essentially a digital ‘smart table’ which brings the social benefits of multiplayer casino games, such as poker, blackjack and baccarat, into the digital era.

Jackpot Digital’s proprietary, GLI certified software and hardware serve as a springboard to easily launch new gaming products for casinos or online.

Stock Chart

Capital Structure

*Trading on the TSXV under the symbol “JJ.WT.A”

**Trading on the TSX.V under the symbol “JJ.WT.B”

***Trading on the TSX.V under the symbol “JJ.WT.C”

Note:All figures in Canadian Dollars

Investment Highlights

Jackpot

  • Casinos worldwide are seeking products that offer poker in a more cost-efficient manner while enhancing the player experience.
  • Jackpot’s tables operate aboard several major cruise lines including Carnival Cruise Lines, Princess, Virgin Voyages and Costa Cruise Lines, with installations aboard Royal Caribbean ships coming soon.
  • The imminent re-opening of these cruise lines represents a significant revenue ramp-up for Jackpot Digital.
  • Jackpot’s digital tables are GLI certified for onshore regulated casinos, positioning the company for explosive growth in the land-based casino marketplace worldwide.
  • Jackpot has only just begun to tap into the massive onshore casino market. Aggressive expansion is under underway with installations into land-based casinos happening now.
  • The company offers an unrivaled player experience which includes a digital touch screen and a stunning 84-inch, 4k display table which replicates the live poker playing experience, combining the social benefits of in-person poker with the cost, efficiency and profitability benefits of digital.
  • Jackpot is the dominant global leader in the manufacture and installation of electronic poker table games.
  • Using the same backbone of Jackpot Blitz poker table, Jackpot is now designing new games tailored for the massive Asian casino market.
  • Salaries often make it expensive to run a poker room. Retaining talented dealers is often time-consuming and difficult. Slow gameplay in between shuffling can limit rake revenues and profit.
  • Jackpot Digital’s Jackpot Blitz, for example, is helping to increase poker revenues and decrease costs.
  • Jackpot Digital’s electronic poker tables produce recurring revenue for the company, with Jackpot Digital earning an attractive licensing royalty of the Gross Gaming Revenue from Jackpot Blitz operations.
  • Jackpot Blitz automates tournaments that allow casinos to operate multi-table contests with lower costs and more efficiency.
  • The health crisis accelerated adoption and orders by onshore casinos because there is no exchange or chips, cards or cash.
  • The company’s encrypted cashless wagering removes the potential risk of money laundering and theft.

Products:

Jackpot Blitz™ is a state-of-the-art electronic table game system that offers an exceptional player experience and unrivalled operator efficiency, flexibility, and profitability. Jackpot Blitz™ upgrades casino table game operations, increases revenues, reduces costs and maximizes profits.

Jackpot Digital is a positive disruptor in the casino business. The company’s proprietary next-generation gaming platform, Jackpot Blitz, is essentially a digital ‘smart table’ which brings the social benefits of multiplayer casino games, such as poker, blackjack and baccarat, into the digital era.

Jackpot

The 84-inch, 4k touchscreen creates a stunning player experience, all while maximizing operator efficiency, flexibility, and profitability.

  • Jackpot Blitz is a state-of-the-art electronic poker system that offers fully automated Texas Hold’em and Omaha cash games and tournaments.
  • Features 10 seats at each table in standard 8 seat (plus dealer) table square footage.
  • Web-based cashier and administration system allows for easy-to-use player management, account funding, and reporting functionality.
  • Prizes and payouts processed automatically through Jackpot’s back-end platform.
  • Fewer staff required to take away table or floor space from players under social distancing policies.

Jackpot Digital’s Jackpot Blitz:

Jackpot

  • Increases poker revenues and decreases costs. Many casinos pay upwards of 40-50% of poker Gross Gaming Revenue in dealer salaries, cards, chips, and other expenses.
  • Operates on a revenue share lease, with Jackpot Digital earning an attractive licensing royalty of the GGR from Jackpot Blitz operations.
  • Reduces expenses by eliminating dealers, cards, and chips.
  • Removes HR headaches of dealer retention and recruitment.
  • Increases rake revenues through faster and error-free gameplay.
  • Automates tournaments allowing casinos to operate multi-table contests cheaper and more efficiently.
  • Removes potential risks of money laundering and theft with its encrypted cashless wagering.

Management Profiles

Jake Kalpakian CEO, Director

Mr. Kalpakian has over 28 years in managing small-cap publicly listed companies. Mr. Kalpakian has served as President and CEO of Jackpot Digital Inc. (formerly Las Vegas From Home.com Entertainment Inc.) since 1999.

Neil Spellman CFO, Director

Mr. Spellman has served as a director of Jackpot Digital Inc. since 2002. Mr. Spellman spent nearly 20 years as a First Vice President with Smith Barney on Wall Street. Mr. Spellman graduated from San Diego State University, cum laude, with a B.S. degree in Finance.

Alan Artunian Director

Gregory T. McFarlane Director