Grover Gaming Market Research Report

Background

Company Overview

Grover Gaming, founded in 2013 and headquartered in Greenville, North Carolina, specializes in the design and development of software, game content, and gaming systems for lotteries and charitable gaming jurisdictions. The company operates across multiple U.S. states, including Ohio, New Hampshire, Kentucky, North Dakota, and Virginia.

Mission and Vision

Grover Gaming's mission is to provide entertaining gaming experiences through a team committed to growth and progress. Their vision is to build a strong foundation of humble, passionate people, effective processes, and superior products.

Industry Significance

As a leading provider in the electronic gaming sector, Grover Gaming has made significant contributions to the charitable gaming industry, enhancing fundraising efforts for various organizations. The company's innovative approach has set industry standards for game design and customer service.

Key Strategic Focus

Core Objectives

Grover Gaming aims to expand its market presence by developing high-quality gaming products and fostering strong relationships with charitable organizations. The company focuses on innovation, customer satisfaction, and operational excellence.

Areas of Specialization

The company specializes in electronic pull-tabs, video lottery terminals, and historical horse racing systems, catering to both land-based and online gaming markets.

Key Technologies Utilized

Grover Gaming employs advanced technologies in game development, including high-resolution graphics, interactive design, and robust software platforms to ensure seamless gaming experiences.

Primary Markets Targeted

The company primarily targets charitable gaming jurisdictions across the United States, providing solutions that enhance fundraising capabilities for nonprofit organizations.

Financials and Funding

Funding History

Grover Gaming has experienced significant growth, as evidenced by its ranking at No. 194 on the Inc. 5000 list in 2020, placing it in the top 4% of the nation's fastest-growing private companies.

Recent Funding and Acquisition

In February 2025, Grover Gaming announced the sale of its charitable gaming assets to Light & Wonder, Inc. for a total consideration of up to $1.05 billion. The deal included $850 million in cash, payable upon closing, and contingent cash consideration of up to $200 million, subject to the achievement of certain financial targets through 2028.

Utilization of Capital

The capital from the sale is expected to be utilized for strategic initiatives, including potential investments in new gaming technologies, expansion into additional markets, and strengthening the company's core operations.

Pipeline Development

Key Pipeline Candidates

Prior to the sale of its charitable gaming assets, Grover Gaming had an installed base of over 10,000 leased electronic pull-tab units across five U.S. states, operating under a recurring revenue model.

Stages of Development

The company had developed and deployed these units, establishing a strong presence in the charitable gaming sector.

Target Conditions

The primary focus was on charitable gaming jurisdictions, aiming to enhance fundraising efforts for nonprofit organizations through innovative gaming solutions.

Anticipated Milestones

The company had planned to expand its product offerings and market reach, with specific milestones tied to the growth of its installed base and the introduction of new gaming products.

Technological Platform and Innovation

Proprietary Technologies

Grover Gaming developed proprietary software platforms for electronic pull-tabs and video lottery terminals, ensuring secure and engaging gaming experiences.

Significant Scientific Methods

The company utilized advanced algorithms for game design and player engagement, incorporating data analytics to optimize game performance and user experience.

Leadership Team

Executive Profiles

Garrett Blackwelder: Founder and CEO, Grover Gaming. Under his leadership, the company achieved significant growth and industry recognition.

Brian Brown: Chief Operating Officer, Grover Gaming. He played a pivotal role in overseeing daily operations and strategic initiatives.

Brooks Lee: Chief Sales Officer, Grover Gaming. He was instrumental in driving sales strategies and expanding the company's market presence.

Competitor Profile

Market Insights and Dynamics

The charitable gaming sector has experienced significant growth, with increasing adoption of electronic gaming solutions by nonprofit organizations to enhance fundraising efforts.

Competitor Analysis

Key competitors in the electronic gaming and charitable gaming sectors include companies like Light & Wonder, Inc., which has expanded into the charitable gaming space through strategic acquisitions.

Strategic Collaborations and Partnerships

Grover Gaming's partnership with Light & Wonder, Inc. for the sale of its charitable gaming assets exemplifies strategic collaboration aimed at expanding market reach and leveraging complementary strengths.

Operational Insights

The acquisition by Light & Wonder, Inc. is expected to enhance operational capabilities, combining Grover Gaming's established customer base with Light & Wonder's extensive content library to offer a broader range of gaming solutions.

Strategic Opportunities and Future Directions

Strategic Roadmap

Post-acquisition, the focus is on integrating Grover Gaming's assets with Light & Wonder's operations, exploring new market opportunities, and enhancing product offerings to meet evolving customer needs.

Future Business Directions

The combined entity aims to leverage its expanded resources to innovate in game development, expand into new jurisdictions, and strengthen relationships with charitable organizations.

Opportunities for Expansion

There are opportunities to introduce new gaming products, expand into additional states, and enhance the technological infrastructure to support a growing customer base.

Positioning for Future Objectives

The strategic acquisition positions the company to achieve future objectives by combining strengths in game development, customer service, and market reach, ensuring sustained growth and industry leadership.