Sweden – Betsson buys two Dutch gaming sitesBy Phil - 6 March 2014
Stockholm-based betting group Betsson has completed the acquisition of Dutch gaming sites Oranje Casino and Kroon Casino through acquisition of the holding company Class One Holding for €100m.
In addition Betsson pays €2.3m for acquired cash and cash equivalents and acquired net income.
Betsson stated: “As previously announced an additional purchase price in cash, based on the outcome of the anticipated re-regulation in Holland, may be paid. Such additional purchase price, if any, will amount to a maximum of €45m, which implies that the total maximum purchase price is €145m. Betsson expects to pay €30m in additional purchase price, implying a total purchase price of €130m.”
As a result of the acquisition consideration being partially paid by way of own shares, the board of directors will issue no more than 2 563 028 new B Shares against subscription in kind.
In connection with the acquisition an external loan of €78m was taken out.
Betsson said: “The facility will be repaid at an appropriate rate which considers the company’s dividend policy. On top of the utilised facility, Betsson has an additional credit facility of €12m to be used when needed.”
Only the sellers of Oranje and Kroon have been entitled to subscribe for the new B Shares, with a right and obligation to pay for the new B Shares by transfer of shares in Class One Holding Ltd.
The new shares will be admitted to trading on NASDAQ OMX Stockholm. The sellers are committed to certain restrictions regarding the transfer of the newly issued Series B shares, including not selling part of the shares for six or 12 months.