Interactive
UK – Kindred to buy 32Red for £175.6m
By Phil - 27 February 2017
Kindred Group and 32Red have reached an agreement on a deal whereby Kindred Group will acquire the entire issued and to be issued share capital of 32Red for £175.6m.
32Red is listed on the AIM market of the London Stock Exchange.
This transaction is consistent with Kindred’s multi-brand strategy and will further enhance Kindred’s position in the online casino market in the UK. Founded in 2002, 32Red is a Gibraltar-based online gaming company, operating online casino, online poker, online bingo and online sports betting under the brands 32Red.com, 32RedPoker.com, 32RedBingo.com and 32RedSport.com. In 2015, 32Red acquired the Roxy Palace online casino business. 32Red is licensed and regulated in Gibraltar, the UK and Italy and is listed on the AIM market of the London Stock Exchange. 32Red has approximately125 employees based in Gibraltar. In the financial year ended 31 December 2015, 32Red generated Net Gaming Revenues of £ 48.7m and EBITDA of £5.2m. On 1 February 2017, 32Red issued a Post Close Trading Update for the year ended 31 December 2016 and announced Net Gaming Revenues of £62.3m.
“The acquisition of 32Red is consistent with our multi-brand strategy and stated desire to grow our business in locally regulated and soon to be regulated markets. 32Red is a high quality, customer-focused business with a similar culture to Kindred Group’s and we are delighted to welcome 32Red and its team into the Kindred family and look forward to further developing the brand going forward,” said Henrik Tjärnström, CEO of Kindred Group.
