Groupe Française des Jeux (FDJ) completed the acquisition of Kindred Group, in a transaction worth almost 2.5 billion euros. This strategic move aims to create a “European champion” in the gaming sector.
The acquisition, which includes operators such as Unibet and 32Red, began in January with a proposal of 130 SEK per Swedish Depositary Receipt (SDR). Kindred’s board of directors unanimously recommended the proposal.
Since then, FDJ has aimed to acquire shares in Kindred to fulfill the condition of controlling more than 90% of Kindred’s share capital.
Additionally, the transaction received approval from France’s national competition regulator, the Autorité de la Concurrence, and the Swedish Financial Supervisory Authority in February.
At the end of the offering period, on October 2, FDJ had acquired 195,659,291 SDRs from Kindred, representing 90.66% of the group’s capital. In addition, 2,400,000 SDRs were purchased directly from Veralda, representing 1.11% of the group’s share capital.
With the condition of 90% of the share capital met, FDJ completed the acquisition of Kindred. The delivery of shares to Kindred shareholders who adhered to the offer will take place from Friday (11). FDJ will also implement a procedure at Nasdaq Stockholm.
However, the group has extended the offer until October 18, 2024, allowing shareholders who have not yet joined to do so on the same terms, with settlement starting on October 29.
Kindred Group Acquisition Details
Stéphane Pallez, president and CEO of the FDJ Group, highlighted that the acquisition of Kindred creates a “European champion” that will generate sustainable and profitable growth.
The group now has a diverse and balanced profile. Its activities include lottery services in France and Ireland, online sports betting and competitive gaming in Europe.
FDJ expects the offering to generate around 26% of its revenue internationally, thanks to Kindred’s presence in European markets. These markets include the Netherlands, United Kingdom, France, Sweden and Belgium.
Pallez commented on the acquisition: “I am delighted to announce the acquisition of Kindred, a leading European player in the competitive online betting and gaming sector. Kindred has strong brands, recognized technological excellence and an attractive growth and profitability profile, which will strengthen FDJ’s strengths.”
“The two groups also share high standards of responsible gaming and a business model that combines performance and responsibility. This acquisition creates a new European champion that intends to pursue its strategy of sustainable and profitable growth for the benefit of all its stakeholders.”
