FDJ's Successful Acquisition of Kindred Group
La Française des Jeux (FDJ), a prominent player in the gaming sector, has successfully completed its tender offer for Kindred Group plc, a leading name in online betting and gaming within Europe.
Details of the Tender Offer
At the conclusion of the tender offer period, an impressive 195,659,291 Kindred Swedish Depository Receipts (SDRs) were tendered, indicating substantial shareholder support. In addition to the SDRs acquired through the tender offer, FDJ has directly purchased 2,400,000 Kindred SDRs from Veralda. This strategic acquisition strengthens FDJ’s position within the gaming market.
Acquisition Completion and Next Steps
With over 90% of Kindred’s share capital secured, FDJ has proceeded with acquiring the entirety of Kindred Group plc. Shareholders who tendered their SDRs will begin receiving their settlement from the 11th of October, marking a significant shift in the ownership landscape.
FDJ is committed to ensuring that all Kindred shareholders have the opportunity to participate in this acquisition by extending its offer until the 18th of October. The terms for this extended offer remain unchanged.
Kindred Group: A Leader in Online Betting
Ranked among the top five online betting and gaming entities in Western Europe, Kindred boasts a presence in seven of the ten largest European markets. With operations in countries like the Netherlands, the UK, France, Sweden, and Belgium, Kindred offers an extensive array of online betting options including sports, poker, and casino games through recognized brands such as Unibet and 32Red.
Creating a European Gaming Champion
This transaction, valued at nearly €2.5 billion, establishes a new powerhouse in the European gaming industry characterized by a diversified portfolio, which includes monopolistic activities in lotteries and competitive online sports betting.
Post-acquisition, the combined revenue derived from international operations is projected to reach approximately 26%, while online gaming opportunities are expected to constitute around 27% of the new group's business model.
Leadership Perspective
Stéphane Pallez, Chairwoman and CEO of FDJ, expressed her enthusiasm regarding the acquisition of Kindred, highlighting Kindred's established brands and technological prowess which align seamlessly with FDJ’s strategic vision. She emphasized the importance of responsible gaming, noting that both organizations prioritize performance while maintaining high ethical standards.
The Future Outlook for FDJ Group and Kindred
Envisioning the future, the new structure will be financed primarily through existing cash resources, complemented by a bridge loan from reputable financial institutions. FDJ aims to maintain a net debt to recurring EBITDA ratio of 2x or lower over the medium term.
The amalgamated group is set to unveil four main business units following the integration of Kindred.
About FDJ Group
As France's leading gaming operator and one of the most respected names in the global industry, FDJ drives its operations with a commitment to responsible gaming through a diverse range of offerings that include lotteries, sports betting, horse-race betting, and poker. FDJ’s innovative approach has positioned it as a market leader.
Frequently Asked Questions
What was the purpose of FDJ's tender offer for Kindred?
The tender offer aimed to acquire a majority stake in Kindred Group plc to enhance FDJ’s portfolio and establish a stronger presence in the European gaming market.
What are the key brands associated with Kindred?
Kindred operates several well-known brands, including Unibet, 32Red, and Maria Casino, offering a variety of betting and gaming services.
How will the acquisition affect FDJ’s operations?
The acquisition is expected to enhance FDJ’s international revenue streams and expand its digital offerings, diversifying its overall business strategy.
What does the future hold for FDJ and Kindred?
Both companies plan to pursue sustainable growth strategies while maintaining a focus on responsible gaming and high standards of transparency.
Where can I find more information about FDJ Group?
Further details about FDJ can be found on their official website, which presents insights into their projects, strategies, and commitment to responsible gaming.
