Fragbite Group AB’s (publ) subsidiary FunRock has signed a contract for the development of a game. The contract entails the order of a fourth game from an existing client to whom FunRock has delivered a game that was recently successfully released, with two additional games currently under development.
FunRock has received an order for the development and customisation of a game under its business unit for B2B Game Development. FunRock has previously delivered a game to this client which was released early September and already showing promising revenue potential. As a result of that successful release, the client ordered another two games, with this new contract marking the fourth game developed for the same client. The client is an iGaming operator currently growing its presence on the US market, utilising FunRock’s games to support player growth across multiple platforms. Discussions on additional games are also ongoing.
Remuneration consists of a fixed fee for game development and customisation, in combination with revenue share from revenue generated as a result of players transitioning from FunRock’s games to the operator’s iGaming content. The revenue share starts upon release and applies for as long as the game remains active on the client’s platform.
“Four games for the same client in a few months demonstrate the strength of our business model. The first game is live and performing well for a client that chooses to come back because we offer fast development, consistent execution and high-quality games. FunRock has built a foundation for generating recurring revenue over the long term,” says Magdy Shehata, CEO, FunRock.
“Going into 2026, Fragbite Group identified a number of key drivers that are reflected in our strategic KPIs, the most important one being recurring revenue. FunRock now has a tried and tested business model built on revenue share, and as it continues to gain traction, step by step the Group increases its recurring revenue. The work on establishing a strong, healthy cash flow continues and I am pleased to see that FunRock is moving in a positive direction,” says Michael Lundgren, CEO, Fragbite Group.
As with the two games announced in September, this fourth game will partially build on underlying technology and learnings from the first, already operational game, allowing for shorter development time with delivery planned at the end of 2026.
Similar to previous client projects under the B2B Game Development business unit, the new game will function as a retention tool to support player engagement and repeat play for the client’s iGaming platform. The game provides a layer that sits on top of the iGaming content, integrated but not itself an iGaming game. The game product is a classic entertainment game which introduces a progression loop that in turn supports the revenue generation from the iGaming operator’s core content.