Allwyn and OPAP Merger Announcement
Allwyn International AG and OPAP S.A. are excited to unveil a historic business combination that is set to create the second largest listed gaming entertainment entity worldwide. This significant merger comes after both companies’ Boards of Directors approved the all-share transaction, which values the new entity at an impressive equity of €16 billion. Following the completion of this merger, the Combined Company will proudly bear the name Allwyn.
Strategic Importance of the Merger
This merger is a pivotal moment for both Allwyn and OPAP as it brings together two leading gaming firms, poised to significantly enhance their market positions across Europe, the United States, and beyond. This transaction builds on a strong foundation established in their partnership that began nearly a decade ago when Allwyn’s major shareholder, KKCG, initially invested in OPAP. At present, Allwyn holds a 51.78% stake in OPAP, making this partnership strategic for both parties.
Impact of the Merger
The merger will facilitate a growth trajectory for the Combined Company, enabling it to leverage its joint strengths and increase market share in the competitive gaming landscape. By merging resources, both companies intend to offer innovative entertainment solutions, capitalizing on advancements in technology and digital platforms. This combination underscores Allwyn’s ambition to emerge as a leader in global gaming entertainment.
Long-term Benefits for Shareholders
Public shareholders of OPAP will reap the advantages of aligning with the Combined Company, which aims to deliver substantial value over the long term. With a focus on growth, scale, and diversification, the merger is designed to provide significant cash returns and enhanced opportunities for innovation. Notably, OPAP will transition its branding to Allwyn in 2026, strengthening its commitment to modern customer engagement strategies and serving younger demographics effectively.
Transaction Details and Future Outlook
The newly formed entity will maintain its listing on the Main Market of the Athens Stock Exchange and may pursue additional listings in prominent international markets such as London or New York after the deal closes. This strategic pivot underscores Allwyn's vision of enhancing its credibility and presence in the global gaming sector.
Financial Highlights of the Merger
Investors can anticipate a robust financial profile from the Combined Company, marked by projected double-digit growth in EBITDA. The merger is expected to significantly strengthen earnings and cash flow, providing resilient distributions to shareholders while exploring new acquisition opportunities to sustain growth.
Leadership Structure Post-Transaction
Upon the merger's completion, Robert Chvatal will continue to lead as CEO of the Combined Company, alongside Kenneth Morton as CFO. This strong leadership framework aims to ensure operational continuity and sustained performance, benefitting not only shareholders but also clients of both Allwyn and OPAP.
About Allwyn
Allwyn is dedicated to revolutionizing the gaming experience by focusing on responsible play, innovation, and community benefits. The firm’s strategic maneuvers, including this merger, are indicative of a commitment to leading development in the gaming industry, ensuring customer safety and engagement.
About OPAP
OPAP continues to be a frontrunner in the gaming sector within Greece and Cyprus, holding exclusive rights to various game segments. This merger with Allwyn is seen as an opportunity to enhance its digital offerings and customer engagement methods, ensuring the company stays relevant in the ever-evolving market landscape.
Frequently Asked Questions
What is the purpose of the Allwyn and OPAP merger?
The merger aims to create the second largest listed gaming operator globally, enhancing both companies' growth, scale, and market presence.
What will happen to OPAP's brand following the merger?
OPAP will transition its branding to Allwyn starting in 2026, reflecting a strong focus on modernization and customer engagement.
How will the merger impact shareholders?
Shareholders are expected to benefit from enhanced growth opportunities, increased cash flow, and potential for shareholder distributions.
Who will lead the combined company?
Robert Chvatal will serve as CEO, and Kenneth Morton will continue as CFO of the Combined Company, ensuring experienced leadership.
Will the new entity be listed on stock exchanges?
Yes, the Combined Company will be listed on the Main Market of the Athens Stock Exchange, with plans for potential listings in other major markets.
